It is a great pleasure for me to attend this luncheon debate organized by the BJA – the
Belgium-Japan Association and Chamber of Commerce. The BJA has been instrumental
in promoting Belgo-Japanese trade and investment, and today we are glad to
acknowledge that one of the characteristics of the relationship between Belgium and
Japan is the presence of many Japanese companies in Belgium. The theme of this
meeting is the reform of corporate tax in Belgium, and I find this to be quite a pertinent
subject for BJA.
Corporate tax is a prerequisite on the checklist when a foreign company envisages
moving into a new country. It is a fundamental element of the investment environment.
Therefore, it is extremely valuable for the members of the BJA to hear from the Finance
Minister about his plan for the reform of corporate tax. It is well know that the Federal
government of Belgium, and in particular the Prime Minister and the Finance Minister, is
taking the lead in inviting foreign investment to Belgium. In this context, reduction of the
tax rate was realized as a first step, coupled with improvement in the Generalized
advance ruling practice, which facilitates the decision for newcomers. Further
improvement will encourage more decision takers to come to Belgium. On the other
hand, there are already 47 European headquarters of Japanese companies in Belgium.
This figure is an indication of the scale of business led by Japanese companies in Europe.
Their activities will be smoothed to a great extent when the tax bases of EU member
countries are harmonized. I understand that Belgium is participating positively in this
endeavour. Minister Reynders’s lecture carries weight and there is no doubt that today’s
message will reach the Japanese business community widely through the BJA, and thus
stimulate those who are already here and hopefully serve as an incentive for those who
are not.
As for me, I hope that many Japanese companies will maximize their profit in Belgium in
response to the enthusiasm of Minister Reynders, and that they will contribute to the
revenue of the Belgian government.