We have gathered feedback from the tax authorities of various key countries to find out the specifics about their APA programs. Read the following Q&A interview on the topic of APAs in Belgium with Mrs. Sandra Knaepen, leading tax official of the Belgian Competent Authorities and Mr. Luc Batselier, member of the Belgian Ruling Commission.
- One of the main achievements of our APA program is the conclusion of five multilateral APA’s with four different jurisdictions, which was not evident.
- Due to the increased number of APA requests, the Belgian authorities can provide the taxpayers more certainty.
Issues and challenges
- Files where there is a Mutual Agreement Procedure pending for prior years and the taxpayer requests at the same time an Advanced Pricing Agreement for future years with regard to the same transactions.
- The more jurisdictions are involved, the more difficult it is and the longer it takes to conclude an APA.
- Staff needs to meet with the increased APA requests.
- For reasons of transparency, it is advised to file the request for an APA contemporaneously in all involved countries. Moreover, taxpayers should provide the same information to all involved jurisdictions.
- The request for an APA has to be filed during the year for which the APA is requested to come into force (e.g. providing that the APA application deals with transactions as from 2014), the request of the APA should be filed during the year 2014.