Get the most out of your investments with the Small-scale investment deduction

Hey entrepreneur, are you thinking about purchasing some new stuff for your company? A new laptop, a company car or perhaps new software? Good news: the government encourages this type of investment through the Small-scale Investment Allowance (KIA). 

What is the KIA?

KIA is a tax scheme that allows you to deduct a percentage of your investments from your profit. It is intended to encourage smaller entrepreneurs like you to invest in business assets. 

Am I eligible for the KIA?

The basic condition is that you invest in assets that cost at least €450 each. In addition, there are certain investment amounts that you must fall within to be entitled to the KIA.

How much can I deduct within the KIA?

The percentage you may deduct varies based on the total amount invested in a calendar year. The percentage can be up to 28% of your investment, but this depends on the total amount you invest.

Can I combine the KIA with other deductibles?

Yes, the great thing about the KIA is that you can often combine it with other investment deductions such as the Energy Investment Deduction (EIA) or the Environmental Investment Deduction (MIA).

How do I claim the KIA?

It's very simple. You include the KIA in your income tax return if you have a sole proprietorship, general partnership or partnership. Do you have a BV? Then you claim the KIA in your corporate tax return. 

Whats next?

Have you once decided to invest? Then you naturally want to achieve the maximum tax benefit. We can help you with the complete financial planning surrounding your investments. Make sure you don't miss anything!

A small list of investments that are excluded from the KIA:

• Soil and soil improvement 
• Houses and other buildings that mainly serve as homes 
• Passenger cars that are not exclusively or almost exclusively suitable for commercial road transport 
• Securities, receivables, goodwill and permits 
• Art objects 
• Animals 
• Interest-bearing debts
• Investments in assets intended for rental to third parties

Click here for personal advice and take the next step towards a profitable investment.