Do you know that you would be able to apply for a bicycle allowance for commuting? As an worker, you’ll be able to declare 0.27 cents per staged kilometer (revenue 12 months 2023).
Biking to work appears to be more and more common. Particularly within the Flemish area, the recognition is rising quickly. Within the meantime, 17 % of all Flemish workers already cycle to work, reviews the Federal Public Service for Mobility.
That reputation is basically pushed by favorable charges and tax circumstances. Staff can obtain tax-free as much as 0.27 cents per kilometer. The one achievement they must make in return is that they recurrently cycle to work. So that you make the acquisition of a dear one e-bike just a bit extra bearable.
So bicycle allowance is tax-free?
Employers don’t have to withhold tax from the bicycle allowance. The federal government regulation does include some necessities. The utmost reimbursement is subsequently 0.27 cents per kilometer (in 2023). A most was additionally set for the variety of kilometers to be reimbursed – that is 40 kilometers per working day.
With the scheme, workers can subsequently gather a most of 10.80 euros per day. Guarantee that your employer doesn’t immediately begin to reimburse something. In that case, you immediately must pay tax on it. Employers won’t simply go flawed with this: the compensation is 100% deductible from their firm revenue – except they begin paying you extra. On the one hand, it prices you revenue, however, your employer could not deduct it.
Can everybody get a bicycle allowance?
The FPS Finance does some circumstances to the bicycle allowance. For instance, an worker could solely obtain compensation for the kilometers traveled by bicycle. The reimbursement additionally solely applies to days on which the bicycle was really cycled.
As an worker, do you rapidly take the bus? Then it’s possible you’ll not obtain a bicycle allowance that day. Nevertheless, on that day, the reimbursement of your bus experience is exempt from tax.
The FPS Finance additionally appoints a triathlon course within the regulation. As an worker, you first take the bicycle, then the bus or prepare and at last the bicycle once more. For such routes, you’ll be able to have each your biking kilometers and journey prices by public transport reimbursed tax-free. On this case, it have to be recorded precisely which route (and subsequently what number of kilometers) you cycled on that day.
How does an organization bike work?
Employers are additionally free to offer an organization bicycle. You should utilize such a bicycle for commuting, with out having to pay tax on it. For those who cycle to work with it, you’ll be able to in precept additionally use the bicycle for on a regular basis and leisure rides. Provided that you don’t use the bicycle for commuting will the tax exemption lapse. Your employer should then report this profit to the FPS Finance.
What makes the corporate bicycle so fascinating is that you would be able to nonetheless apply for a bicycle allowance. So that you benefit from the comfort of the corporate bike, and also you obtain a reimbursement of 0.27 cents per kilometer. Employers may additionally absolutely deduct the prices of firm bicycles from firm revenue. This additionally applies to upkeep prices of the bicycle, in addition to related equipment equivalent to helmets and bicycle locks.
You’ll want to point out this benefit to your employer when discussing the corporate bicycle. It’s in fact as much as the employer whether or not or to not buy firm bicycles.
Which sort of bicycles are eligible?
FPS Finance reviews that every one forms of metropolis bicycles and hybrid bicycles (mixture of metropolis bicycles with a mountain bike) are eligible for the scheme. Racing bicycles and mountain bikes aren’t included within the scheme.
So far as the drive is anxious, the federal government division reviews the next. “The supply of an electrical bicycle, which could be thought to be a bicycle, motorized bicycle or velocity pedelec, is eligible for the measure”. Briefly: common metropolis bikes in addition to e-bikes and velocity pedelecs are permitted as firm bikes.
For which bicycles can I get compensation?
The federal government has imposed a variety of restrictions on firm bicycles. This doesn’t apply to the separate 0.27 cents per kilometer that workers can obtain. This compensation could be obtained with any kind of bicycle, together with e-bikes, mountain bikes, metropolis bikes and subsequently additionally racing bikes.
Rules change
The bicycle allowance scheme was solely launched in 2021. Since then, it has been recurrently adjusted, together with greater most reimbursements. So all the time hold a detailed eye on that. The above info applies to revenue 12 months 2023 and evaluation 12 months 2024. For 2022 (revenue 12 months) and 2023 (evaluation 12 months), for instance, the compensation was 25 cents per kilometre.
