Category: Tax
Retained in company
After-tax profit left inside the company instead of being paid out to you this year.
Profit does not have to be distributed the year it is earned — it can stay in the company as retained earnings, ready to fund a liquidation reserve, future investment, or a dividend in a later year. Money kept in the company avoids the second layer of dividend tax for now, but is not yet in your pocket.
In the worked example
On the worked example for a freelancer in Belgium with €115,500 of revenue, this line comes to €33,721.
Calculate it
Liquidation reserve or dividend — what is left of your profit?Articles on this
Related terms
This article is general information for a one-person company (BV/SRL), not tax advice. Rules and figures change — confirm your situation with your accountant before acting.