Belgium

As a member of the European Union (EU), Belgium is subject to accounting, auditing, and financial reporting requirements established in EU Regulations and Directives as transposed into national laws and regulations. Belgium has aligned its legal and regulatory framework with the EU acquis communautaire as it relates to corporate reporting, statutory audit, and professional oversight.

The financial reporting framework in Belgium is established primarily through the Code of Companies and Associations, the Accounting Act, and related Royal Decrees. The Belgian Accounting Standards Board (BASB) is the national standard-setting body responsible for issuing Belgian Generally Accepted Accounting Principles (Belgian GAAP) and providing guidance on financial reporting matters.

Entities whose securities are admitted to trading on a regulated market are required to prepare consolidated financial statements in accordance with International Financial Reporting Standards (IFRS Accounting Standards) as adopted by the EU. Belgium also requires the use of EU-endorsed IFRS for the consolidated financial statements of certain regulated entities, including credit institutions, insurance undertakings, and investment firms, even where their securities are not publicly traded. Other entities generally prepare financial statements in accordance with Belgian GAAP and the applicable provisions of the national legal framework. Certain non-listed entities may elect to apply EU-endorsed IFRS on a voluntary basis.

The statutory audit framework is established under the Act of 7 December 2016 on the organization of and supervision over statutory auditors, which transposes Directive 2014/56/EU and Regulation (EU) No 537/2014 into Belgian law. The Act establishes the legal framework for the approval, registration, supervision, quality assurance, and discipline of statutory auditors and audit firms and designates the Belgian Audit Oversight Board (BAOB) as the independent public oversight authority.

Under Belgian law, public interest entities include listed companies, credit institutions, insurance and reinsurance undertakings, and other entities designated by law. Mandatory statutory audits apply to public interest entities and to companies exceeding the prescribed size thresholds.

For financial years beginning after 31 December 2023, a statutory auditor must be appointed where an entity exceeds more than one of the following criteria in two consecutive financial years: annual turnover excluding value-added tax of EUR 11,250,000; total assets of EUR 6,000,000; and an average workforce of 50 employees. Small entities that do not exceed more than one of these thresholds are generally exempt from mandatory statutory audit requirements, unless other legal provisions apply, including group reporting requirements.

All statutory audits in Belgium are required to be conducted in accordance with International Standards on Auditing (ISA) as adopted for application in the jurisdiction. The Belgian Institute of Registered Auditors (IBR-IRE) is responsible for drafting and translating auditing standards and related pronouncements, subject to approval by the relevant public authorities. ISA have been applicable in Belgium since 2009, and the International Standards on Quality Management (ISQM 1 and ISQM 2) are effective for all audit firms.

The accountancy profession in Belgium operates under a shared regulatory framework in which accountants and tax advisers are regulated under one legal regime, while statutory auditors are regulated separately at the state level under dedicated audit legislation.

The principal legal instruments governing the profession are the Accounting Act of 1953, as amended; the Act of 17 March 2019 on the professions of accountant and tax adviser; and the Act of 7 December 2016 on the organization of the profession and public oversight of statutory auditors.

The Act of 17 March 2019 reformed the regulation of accountants and tax advisers and unified the profession by merging the former Institute of Accountants and Tax Consultants and the Professional Institute of Accountants and Tax Accountants into the Institute for Tax Advisors and Accountants (ITAA). This reform streamlined access to the profession and consolidated the regulatory framework for non-audit professional accountants in Belgium. The Act was subsequently implemented through Royal Decree of 11 September 2020.

Under this framework, ITAA is responsible for the regulation of certified accountants and certified tax advisers. Its responsibilities include establishing and administering initial and continuing professional development requirements, organizing admission and final professional examinations, maintaining the public register of members and trainees, licensing practitioners, administering investigation and disciplinary procedures for its members, and supporting implementation of accounting and ethical requirements.

Entry into the profession for accountants and tax advisers generally requires completion of a recognized degree issued by the Flemish, French, or German-speaking Community, successful completion of an admission assessment, completion of a three-year practical training period, and successful completion of final examinations. Certain exemptions may apply based on relevant professional experience.

Accounting standard-setting for entities applying Belgian Generally Accepted Accounting Principles is undertaken by the Belgian Accounting Standards Board in accordance with the national accounting framework.

Statutory auditors are regulated separately under the Act of 7 December 2016, which establishes the legal framework for the approval, registration, supervision, quality assurance, and discipline of statutory auditors and audit firms.

Public oversight of statutory auditors is vested in the Belgian Audit Oversight Board (BAOB), which operates as the independent public oversight authority. The BAOB retains ultimate supervisory responsibility for the profession, including oversight of delegated functions, quality assurance reviews, investigations, and enforcement actions.

Under the Act, certain operational responsibilities are delegated to the Belgian Institute of Registered Auditors (IBR-IRE), under BAOB supervision. These delegated responsibilities include granting and withdrawing the status of statutory auditor, maintaining the public register, administering registration procedures, organizing continuing professional development, and drafting auditing and ethical standards and related professional guidance for approval by the competent public authorities.

To qualify as a statutory auditor, candidates are generally required to hold a master’s degree or equivalent recognized qualification, complete a minimum of three years of practical training, pass the required theoretical and final professional examinations, and take the statutory oath before the Court of Appeal. Equivalent foreign qualifications are subject to additional professional aptitude requirements in relevant areas of Belgian law and ethics.

Belgian Institute of Registered Auditors (IBR-IRE)

The Belgian Institute of Registered Auditors (IBR-IRE) is the legally recognized professional accountancy organization for statutory auditors and audit firms in Belgium. Membership is mandatory for individuals and firms authorized to perform statutory audits. IBR-IRE operates within the public oversight framework established by the Act of 7 December 2016 on the organization of and supervision over statutory auditors, under the supervision of the Belgian Audit Oversight Board (BAOB).

IBR-IRE plays an important role in supporting the regulation and development of the audit profession. Its responsibilities include maintaining the register of statutory auditors and audit firms under the delegated framework established by law, organizing and supporting continuing professional development, supervising practical training arrangements, and drafting auditing and ethical standards and related professional guidance for approval by the competent public authorities. It also represents the profession nationally and internationally and contributes to technical developments in audit and assurance.

In addition to its national role, IBR-IRE participates in several regional and international professional networks. Publicly available sources confirm its representation within Accountancy Europe and the European Federation of Accountants and Auditors for SMEs (EFAA). Belgian professional sources also indicate joint international representation arrangements with the Institute for Tax Advisors and Accountants in relation to the International Federation of Accountants (IFAC) and the Fédération Internationale des Experts-Comptables et Commissaires aux comptes Francophones (FIDEF).

Institute for Tax Advisors and Accountants (ITAA)

The Institute for Tax Advisors and Accountants (ITAA) was established by the Act of 17 March 2019 on the professions of accountant and tax adviser, which reorganized the non-audit segment of the profession in Belgium and merged the former professional bodies into a single institute. ITAA is the legally recognized professional accountancy organization for certified accountants and certified tax advisers in Belgium. Membership is mandatory for professionals practicing under the protected titles governed by the Act.

ITAA is responsible for the organization and supervision of the profession within its legal remit. Its functions include administering admission procedures, traineeship and professional examinations, maintaining the public register of members and trainees, establishing and monitoring continuing professional development, issuing professional standards and recommendations, and operating disciplinary arrangements for its members in accordance with the 2019 Act and related implementing measures.

ITAA also maintains an active international profile. Public sources confirm its membership in Accountancy Europe, while Belgian professional sources indicate participation in broader international and francophone professional networks, including FIDEF. Belgian sources also refer to coordinated international representation together with IBR-IRE in relation to IFAC, Accountancy Europe, EFAA, and FIDEF.

The Council of Ministers approved the preliminary draft law on the merger between Professional Institute of Accountants and Tax Accountants (IPCF) and the Institute of Accountants and Tax Consultants (IEC-IAB) to form “Institute of Tax Consultants and Accountants (ICE).” As of the date of the assessment, IPCF reports that the draft is with the Council of State for feedback before being introduced in Parliament. Once the merger occurs, ‘current’ IPCF certified tax specialists will receive the professional title of “tax accountant;” IEC accountants will be given the title “certified public accountant;” and tax advisors will be given the professional title of “certified tax adviser.” All trainees of the merged institute will be required to enter an internship program to obtain the professional titles.

The quality assurance review system in Belgium is established under the Act of 7 December 2016 on the organization of and supervision over statutory auditors, which provides the legal foundation for mandatory quality assurance reviews of all statutory audits.

The Belgian Audit Oversight Board (BAOB) is responsible for supervising and administering the quality assurance review system in the jurisdiction. The system applies to all statutory auditors and audit firms performing audits of public interest entities and non-public interest entities.

The BAOB conducts quality assurance reviews of auditors performing audits of public interest entities on a three-year review cycle and of non-public interest entity auditors at least every six years, using a risk-based approach. Reviews of public interest entity auditors are conducted by reviewers external to the profession as part of the independent public oversight framework.

The International Standards on Quality Management (ISQM 1 and ISQM 2) are adopted and effective in Belgium. The Minister responsible for the Economy approved the standard implementing ISQM 1 and ISQM 2, effective 15 December 2023, and the BAOB has since been actively monitoring implementation across both the public interest entity and non-public interest entity sectors.

Based on the legal framework, review cycle, independent oversight arrangements, and adoption of the relevant quality management standards, the quality assurance review system is operational for all mandatory audits and is assessed as aligned with the requirements of Statement of Membership Obligations 1.

Current Status: Adopted

Initial and continuing professional development requirements in Belgium are established through the Act of 17 March 2019 on the professions of accountant and tax adviser, the Act of 7 December 2016 on the organization of and supervision over statutory auditors, and the related Royal Decrees governing access to the profession.

For certified accountants and certified tax advisers, the Institute for Tax Advisors and Accountants (ITAA) is responsible for administering initial professional development and continuing professional development requirements. Entry requirements include completion of a recognized degree, an admission assessment, a supervised practical training period of three years, and final professional examinations. ITAA requires members to complete 120 hours of continuing professional development over a rolling three-year period and monitors compliance as part of its professional oversight framework.

For statutory auditors, initial and continuing professional development requirements are established under the 2016 Audit Act and the Royal Decree of 17 August 2018 on access to the auditing profession. Candidates are required to hold a master’s degree or equivalent recognized qualification, complete a minimum of three years of practical training, pass the prescribed theoretical and practical examinations, complete the final aptitude assessment administered by the Belgian Institute of Registered Auditors (IBR-IRE), and take the statutory oath before the Court of Appeal. Statutory auditors are also required to complete 120 hours of continuing professional development over a three-year period, with compliance monitored within the public oversight framework.

Based on the legal framework, practical experience requirements, assessment structure, and continuing professional development obligations applicable across both regulated segments of the profession, the educational requirements in Belgium are assessed as aligned with the 2019 International Education Standards at the jurisdiction level.

Current Status: Adopted

Statutory audit requirements in Belgium are established under the Act of 7 December 2016 on the organization of and supervision over statutory auditors. The Act requires statutory audits to be conducted in accordance with the auditing standards issued by the Belgian Institute of Registered Auditors (IBR-IRE) and approved by the competent public authorities.

Belgium has applied the International Standards on Auditing (ISA) as issued by the International Auditing and Assurance Standards Board (IAASB) since 2009. IBR-IRE continues to translate and incorporate new and revised IAASB pronouncements into the national framework on an ongoing basis. Publicly available sources confirm that the latest post-2018 standards and revisions, including ISA 250 (Revised), ISA 315 (Revised 2019), ISA 540 (Revised), International Standards on Quality Management 1 and 2, and ISA 220 (Revised), are effective in the jurisdiction. The 2025 IAASB Handbook is the current reference framework in use for the assessment.

No credible national source was identified confirming that Belgium has formally adopted or permitted the use of ISA for Less Complex Entities at the jurisdiction level as of the time of this assessment.

Current Status: Adopted

Ethical requirements in Belgium are established through the Act of 7 December 2016 on the organization of and supervision over statutory auditors, the Code of Companies and Associations, the Act of 17 March 2019 on the professions of accountant and tax adviser, and the related Royal Decrees and professional regulations.

For statutory auditors, the Belgian Institute of Registered Auditors (IBR-IRE) applies ethical and independence requirements within the framework established by the 2016 Audit Act and related national requirements. IBR-IRE has historically reported that these requirements are aligned with the 2009 International Code of Ethics for Professional Accountants issued by the International Ethics Standards Board for Accountants (IESBA) following implementation of the European Union audit reform.

For accountants and tax advisers, the Institute for Tax Advisors and Accountants (ITAA) applies a professional code of ethics established through Royal Decree and professional regulations. Publicly available information indicates that ITAA’s requirements incorporate at least the 2018 IESBA Code, with subsequent updates based on the 2022 Code reported to be under approval.

Current Status: Partially Adopted

Public sector accounting in Belgium is governed by the Law of 22 May 2003 concerning the organization of the budget and governmental accounting, together with the related Royal Decrees, including the federal chart of accounts framework. The central government applies an accrual-based national accounting framework for the principal components of the financial statements, with the exception of the cash flow statement.

At the subnational level, Walloon and Brussels local governments also apply accrual-based national standards, while the Flemish local government framework applies an accrual basis with certain elements of modified accrual accounting for changes in net assets.

No credible public-source evidence was identified confirming that accrual-basis International Public Sector Accounting Standards (IPSAS), as issued by the International Public Sector Accounting Standards Board (IPSASB), have been formally adopted for application by all public sector entities in Belgium. Rather, Belgium applies national accrual-based public sector accounting standards that are broadly aligned with international good practice and are considered close to IPSAS in several areas.

Accordingly, Belgium is assessed as applying accrual-basis national standards rather than IPSAS as issued, and the jurisdiction is therefore assessed as Partially Adopted.

Current Status: Partially Adopted

Investigation and discipline arrangements in Belgium operate under a shared framework for the regulated segments of the profession.

For statutory auditors, the Act of 7 December 2016 on the organization of and supervision over statutory auditors establishes the legal basis for investigation and disciplinary procedures. The Belgian Audit Oversight Board (BAOB) is responsible for conducting investigations and enforcement actions in relation to statutory auditors and audit firms, with sanctions imposed through the competent public authorities, including the Financial Services and Markets Authority where applicable. Public oversight reports confirm that the system is operational and applies to all statutory auditors.

For accountants and tax advisers, the Act of 17 March 2019 on the professions of accountant and tax adviser requires the Institute for Tax Advisors and Accountants (ITAA) to maintain formal investigation and disciplinary mechanisms for its members. The system includes disciplinary bodies chaired by a magistrate, the ability to impose a range of sanctions, and an appeals process established by law.

Based on the available legal framework and the professional self-assessments, the investigation and discipline systems in Belgium are operational for all regulated segments of the profession. However, certain elements of Statement of Membership Obligations 6 remain only partially evidenced at the jurisdiction level, including formalized timeframe targets for case disposal, comprehensive public disclosure of outcomes, and an independent review mechanism for complaints on which no follow-up action is taken.

Accordingly, the investigation and discipline framework is assessed as largely aligned with the requirements of Statement of Membership Obligations 6, with some areas for further strengthening, and the jurisdiction is therefore assessed as Partially Adopted.

Current Status: Partially Adopted

As a member of the European Union (EU), Belgium is subject to the financial reporting requirements established by EU Regulations and Directives as transposed into national law.

International Financial Reporting Standards (IFRS Accounting Standards) as adopted by the EU are required for the consolidated general purpose financial statements of all domestic publicly accountable entities whose securities are admitted to trading on a regulated market. This includes listed companies and other public interest entities subject to EU reporting requirements. Belgium also requires the use of EU-endorsed IFRS in the consolidated financial statements of certain credit institutions, insurance undertakings, and investment firms, including certain non-listed entities as prescribed by law.

The IFRS Foundation confirms that Belgium applies IFRS Accounting Standards as adopted by the EU for listed entities and other relevant public interest entities. While EU endorsement may include limited timing differences or specific carve-outs in exceptional circumstances, the framework continues to meet the threshold for adoption at the jurisdiction level for domestic publicly accountable entities.

For all other entities, Belgian Generally Accepted Accounting Principles issued by the Belgian Accounting Standards Board apply.

IFRS Accounting Standards in effect as of the time of the assessment are adopted and required to be applied by all domestic publicly accountable entities in consolidated general purpose financial statements.

The IFRS for Small and Medium-sized Entities (IFRS for SMEs) has not been adopted in Belgium, and small and medium-sized entities instead apply the differentiated reporting framework established under Belgian national law.

Current Status: Adopted

Relevant Organizations

Belgian Accounting Standards Board (BASB)

Belgian Audit Oversight Board (BAOB)

Belgian Institute of Registered Auditors (IBR-IRE)

Financial Services and Markets Authority (FSMA)

Institute for Tax Advisors and Accountants (ITAA)

International Forum of Independent Audit Regulators (IFIAR)

Relevant Legislation

Act of 7 December 2016 on the organization of and supervision over statutory auditors

Act of 17 March 2019 on the professions of accountant and tax adviser

Code of Companies and Associations

Law of 22 May 2003 concerning the organization of the budget and governmental accounting

Regulation (EU) No 537/2014 on specific requirements regarding statutory audit of public-interest entities

Royal Decree of 17 August 2018 on access to the profession of statutory auditor

Royal Decree on execution of the Law of 22 May 2003 concerning the federal chart of accounts

Relevant Publications

Belgian Audit Oversight Board, Annual Report 2021

IFRS Foundation, IFRS Application Around the World: Jurisdictional Profile – Belgium