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Grant Details

Grant Analysis

Purpose & Target

This grant provides a property tax reduction for owners of buildings in Flanders. - The core objective is to incentivize (partial) reconstruction or major energetic renovation projects that result in highly energy-efficient buildings with a low 'E-peil'. - Target recipient type: Owners of buildings (individuals, businesses, public entities). - Target recipient size: Any size of owner. - This grant is SECTOR-SPECIFIC (Construction, Real Estate, Energy Efficiency). - Geographic scope: Flanders, Belgium. - Key filtering criteria: Ownership of a building, completion of eligible construction/renovation, achievement of a low 'E-peil', and a valid building permit application before October 1, 2025. - Grant frequency: Recurring fiscal measure, but being phased out for new applications.

Financial Structure

  • Support type: Property tax reduction.
  • Amount of reduction: 50% or 100% of the property tax.
  • Duration of reduction: 5 years.
  • The 5-year term starts in the year following the year in which the low E-peil was first awarded to the property.
  • If the property is transferred to a new owner, the reduction continues for the remaining period.
  • No direct funding provided; it is a fiscal benefit.

Eligibility Requirements

Applicant Requirements
  • Must be the holder of the legal right (owner) of the property on January 1st of the tax year.
  • Ownership status (occupant vs. owner) does not affect eligibility, as long as the property owner meets criteria.
Project Requirements
  • Project must involve a building or renovation requiring an urban planning permit (stedenbouwkundige vergunning) or notification.
  • The building must achieve a sufficiently low E-peil (energy performance level), calculated according to EPB (Energy Performance and Indoor Climate) regulations.
  • The E-peil must be confirmed by an official 'EPC Bouw' (Energy Performance Certificate for Construction) issued by the Flemish Energy and Climate Agency (VEKA).
  • The awarded E-peil must apply to the entire building.
  • For permits requested from January 1, 2023, until September 30, 2025:
    • Only applies to (partial) reconstruction (herbouw) or major energetic renovation (ingrijpende energetische renovatie - IER).
    • Excludes new construction without prior demolition.
  • Definition of Major Energetic Renovation (IER):
    • Renovation where all technical installations for indoor climate are fully replaced AND at least 75% of existing and new external building envelope (shell) is insulated.
  • Definition of (Partial) Reconstruction:
    • Full reconstruction: new build after complete demolition of an existing building.
    • Partial reconstruction: rebuilding a partial volume of an existing building with prior demolition of that part.
Geographic Requirements
  • Property must be located in Flanders, Belgium.
Exclusion Criteria
  • Industrial and agricultural buildings are excluded as they do not have an E-peil.
  • For building permits applied from October 1, 2025, this specific reduction is abolished.

Application Process

Application Procedure
  • The property tax reduction is automatically granted.
  • The Flemish Tax Service (VLABEL) receives the necessary data directly from the Flemish Energy and Climate Agency (VEKA) based on the submitted EPB declarations.
  • No separate application form or process is required from the property owner.
Required Documentation (if objection needed)
  • If the reduction is not automatically applied, applicants can file an objection with the Flemish Tax Service.
  • Required documents for objection:
    • Copy of your 'EPC Bouw' certificate.
    • Copy of the receipt/confirmation of your urban planning permit application.
Deadlines
  • This reduction will be discontinued for building permit applications submitted from October 1, 2025.
  • The effective deadline for submitting the urban planning permit application is September 30, 2025.
Implementation Timeline
  • The reduction is applied from the tax year following the year the E-peil was determined (e.g., if E-peil determined in 2023, reduction starts from tax year 2024).
Post-Award Requirements
  • No specific post-award reporting from the property owner is required, as the process is automated via EPB data.

Evaluation Criteria

Primary Criteria: Achieved E-peil
  • The E-peil obtained on the 'EPC Bouw' is the sole determinant for the reduction amount.
  • For (partial) reconstruction with permit application between Jan 1, 2023, and Sep 30, 2025:
    • E-peil of E20 or lower: 50% property tax reduction.
    • E-peil of E10 or lower: 100% property tax reduction.
  • For major energetic renovation (IER) with permit application between Jan 1, 2023, and Sep 30, 2025:
    • E-peil of E60 or lower: 100% property tax reduction.
Compliance with EPB Requirements
  • To qualify for the reduction, the building must not only meet the E-peil target but also comply with all applicable EPB requirements (e.g., K-peil, S-peil, minimum share of renewable energy, indoor climate).
  • If additional energy-saving measures are taken after the initial E-peil determination, this will not influence the already assigned reduction.

Compliance & Special Requirements

Regulatory Compliance
  • Strict adherence to Flemish EPB (Energieprestatie en Binnenklimaat) regulations is mandatory. This includes meeting requirements for:
    • K-peil (insulation level).
    • E-peil (energy performance level).
    • Minimum share of renewable energy.
    • Requirements for a livable indoor climate (e.g., ventilation, overheating prevention).
  • An urban planning permit (stedenbouwkundige vergunning) or notification must have been required for the construction/renovation work.
Technical Documentation and Expertise
  • An EPB-verslaggever (EPB reporter) is required to calculate the E-peil and submit the EPB declaration to VEKA.
  • The official 'EPC Bouw' (Energy Performance Certificate for Construction) is the key document confirming the E-peil.
Exclusions
  • Projects for industrial and agricultural buildings are ineligible because these building types do not have an E-peil in the Flemish EPB framework.
Important Note on Phasing Out
  • This specific tax reduction measure for energy-efficient buildings will be abolished for all building permits applied from October 1, 2025. This means applicants must ensure their permit application is submitted by September 30, 2025, at the latest to be considered under the current rules. Existing awarded reductions will continue for their full 5-year term.

Grant Details

energy efficiency flanders belgium property tax tax reduction e-peil epb energetic renovation reconstruction sustainable building real estate construction buildings fiscal incentive environmental sustainability vlabel veka
Reduction of property tax for buildings with low E-level
VLAIO-Vermindering onroerende voorheffing
Vlaamse Belastingdienst fiscal measures
OTHER
BE
CONSTRUCTION ENERGY OTHER
DEVELOPMENT MATURE
OTHER
SDG7 SDG9 SDG11 SDG12
FUNDING
None
None
None
EUR
50.00
Sept. 30, 2025, 10:59 p.m.
Automatic upon tax assessment