Recent FPS Finance Circular 2024/C/77 sheds light on the complex tax treatment of home charging of company vehicles. With significant changes looming from 2025, employers and employees face new obligations and opportunities. Stroohm not only provides charging solutions that meet these requirements, but also offers a forward-looking approach to meeting these challenges.

The circular identifies two methods by which an employer can cover electricity costs for charging a company vehicle at home:

1. Reimbursement of electricity costs

• The employee pays for the electricity himself and claims the cost from the employer (Through a CPO).
• Depending on the nature of the trip (professional, commuting, or private), these reimbursements are taxed or exempt:
  • Professional use: Non-taxable refund, subject to proof of actual costs.
  • Commuting: Tax-free up to €490 per year (tax year 2025).
  • Private use: Fully taxed.

In the case of reimbursement of electricity costs by the employer for charging a company car at home, clear rules are laid down in Circular 2024/C/77. These rules differ depending on the type of use of the company car (professional, commuting or private use). Especially for employers and employees who have to manage these reimbursements, a temporary system has been introduced that offers simplicity in the form of a fixed rate per kWh.

Flat rate per kWh: what is it and how is it calculated?

To ease the administrative burden of calculating actual electricity costs, employers may use a fixed rate per kWh set by the CREG (Commission for the Regulation of Electricity and Gas) until December 31, 2025. This rate varies by region (Flanders, Brussels and Wallonia) and is published quarterly by the government. The fixed rate is based on the average commercial electricity price for residential customers.

The calculation of the rate is as follows:

• CREG collects the average electricity prices per month, including all costs (energy price, network costs, levies and VAT).
• These monthly prices are averaged over three months (a quarter) to smooth out fluctuations.
• The result is a flat rate per kWh that employers may use for reimbursements.
• For the first quarter of 2025, the established rates are:
  • Flemish Region: 28.22 euro cents/kWh
  • Brussels Capital Region: 32.94 euro cents/kWh
  • Walloon Region: 32.56 euro cents/kWh

Employers have the choice to either apply the specific rate per region or to apply a uniform rate based on the lowest rate in Belgium (for example, the Flemish rate of 28.22 eurocent/kWh). The latter offers simplicity for companies with employees spread across several regions.

Conditions for the fixed rate

• The tariff may only be used for electricity consumed for charging the company vehicle.
• The employer must be able to determine the exact consumption via a communication system or intermediate counter that records only the charge consumption.

Clarity on measurement accuracy as of 2025

With the introduction of the new guidelines, there are clear technical requirements for reimbursement systems:

• MID-certified meters: As of Jan. 1, 2025, all newly installed charging stations or other reimbursement systems must have MID certification or the equivalent with at least 2% accuracy. This ensures that consumption is measured correctly, which is essential for accurate tax processing.
• Specific communication systems: Employers need to understand the exact electricity consumption of their employees for charging company vehicles. This can be done through advanced communication systems or submetering.

Temporary solution

This CREG-based fixed rate reimbursement system will remain in place only until the end of 2025 and represents a transition to more performant systems, such as submetering. It offers companies a temporary solution that combines simplicity and transparency. After 2025, the use of a fixed tariff will no longer be allowed, making more accurate systems, such as those of a supply contract via a second (sub)meter, a must.

2. Provision of electricity

• Electricity is paid directly by the employer in the forward-looking solution via a separate energy contract which is possible at home via a second meter for the car. Or via a charge card to charge (semi-)public.
• The energy contract may only be used for the electricity consumed for charging the company vehicle.
• In this situation, no refund is necessary since the payment is made directly and there are no additional rules to follow.
• This is taxed as one lump sum benefit in kind along with personal use of the company car.

3. How Stroohm responds to these regulations

At Stroohm, we offer solutions that are fully aligned with the requirements of the circular and anticipate future changes. Our offer guarantees hassle-free implementation of charging solutions for both employers and employees.

1. MID-certified charging stations

All Stroohm charging stations installed today are MID certified. This is a legal requirement for correct kWh measurement and indispensable from 2025. With this, our charging stations are ready for the strictest controls and meet the tax obligations around reimbursement of charging costs.

2. Submetering: forward-looking beyond 2025

When the administrative tolerance for fixed tariffs expires, Stroohm offers a seamless solution through submetering. Submetering allows employers to link a separate energy contract to the employee’s charging station. This keeps charging costs correct and easily manageable, even after the Dec. 31, 2025 deadline.

3. Specific communication systems

Our charging stations have advanced communication systems that report electricity consumption directly to the employer. This is critical to comply with the requirement that reimbursements must relate only to charging the company vehicle.

4. Flexible solutions for shared charging stations

Stroohm offers solutions for situations where multiple family members charge an electric utility vehicle via the same charging station. Thanks to our technology, charging costs for each vehicle can be accurately and separately recorded and reimbursed.

4. Refunds < 01/01/2025

All refunds made by STROOHM are in line with the new legislation since we already work on the basis of the CREG tariff.

All the details can be checked in the circular itself