Everyone pays taxes on income whether you are an employee, civil servant or self-employed.
Nevertheless, as a self-employed person, you can already pay tax during the ongoing year. This way you avoid having to pay everything in one go.
In principle, as a self-employed person, you pay an advance on your taxes 4 times a year. You estimate those advances based on the profit you expect to make that year.
Note: the government plans to introduce a fifth advance payment period for the self-employed as from tax year 2027 (income 2026). At the time of publishing this article, the proposal has not yet been approved.
"}},{"componentType":"sectionTitle","title":"Making prepayments as a startup"},{"componentType":"paragraph","richBody":{"value":"Are you going self-employed as your principal occupation for the first time? Then you don’t have to make prepayments for the first 3 fiscal years. If you make no or too few advance payments during this period, you will not receive a tax increase.
Many startups do in fact choose to make prepayments. There is a good reason for that.
"}},{"componentType":"sectionTitle","title":"Tax credit for startups"},{"componentType":"paragraph","richBody":{"value":"Newly self-employed people without a company and liberal professionals can get a tax credit in the first 3 years if they make sufficient upfront payments. This is a kind of tax relief.
For the 2027 tax year (2026 income), the amount of this tax reduction is equal to the sum of:
Tip: you get the biggest benefit if you prepay as much as possible in the first quarter of the year.
Good to know:
- the credit applies not only for the first 3 years, but also afterwards.
- if you pay more than necessary, you get the excess back through your taxes.
"}},{"componentType":"sectionTitle","title":"What if you don't have enough funds?"},{"componentType":"paragraph","richBody":{"value":"Prepayments are often in your interest, but you may prefer not to use your own funds or perhaps you temporarily don't have enough cash.
A financing agreement with ING might offer a solution. This can be beneficial for 2 reasons:
- you can deduct the interest as business expenses.
- you have less administration: ING pays the amount directly to the tax authorities. You don't have to do anything yourself.
Tip: the sooner you repay the loan, the lower the interest rate.
"}},{"componentType":"sectionTitle","title":"Let ING finance your prepayment"},{"componentType":"paragraph","richBody":{"value":""},"textLinks":[{"url":"/en/business/financing/recurring-expenses-tax-prepayment-facility","text":"Discover ING Tax Prepayment Facility"}]}]},"complementaryZone":{"flexComponents":[{"componentType":"cards","cards":[{"componentType":"productCard","cardType":"product","cardSize":"small","title":"Financial management of a sole proprietorship","intro":"How exactly does accounting work?","image":{"transformBaseUrl":"https://assets.ing.com/transform/c64d5589-9af9-47eb-add6-8ddb2fb2ce30/Business-man-talks-hands-free-on-mobile-with-takeaway-food","type":"image","width":1920,"original":"https://assets.ing.com/m/34315c20ae1731d6/original/Business-man-talks-hands-free-on-mobile-with-takeaway-food.jpg","extension":"jpg"},"link":{"url":"/en/business/starters/financial-management"}},{"componentType":"productCard","cardType":"product","cardSize":"small","title":"An overview of 10 extra-legal benefits","intro":"An attractive addition to your payslip: check which ones are useful for you!","image":{"transformBaseUrl":"https://assets.ing.com/transform/7a2701fc-94f0-4107-a7a4-9c8d5d06c556/Large_Web-and-Screen-Smiling-business-man-using-his-mobile-phone-and-relaxing-in-his-chair-at-the-office","type":"image","width":1920,"original":"https://assets.ing.com/m/5ecb5382208b3f79/original/Large_Web-and-Screen-Smiling-business-man-using-his-mobile-phone-and-relaxing-in-his-chair-at-the-office.jpg","extension":"jpg"},"link":{"url":"/en/business/starters/10-extra-legal-benefits-for-starters-and-the-self-employed"}}]}]},"legalZone":{"flexComponents":[{"componentType":"paragraph","title":"Disclaimer","richBody":{"value":"This article is for informative purposes only and the information set out herein may change with time. We therefore recommend that you always reference specific regulations and requirements with the competent authorities for the latest information. Additionally, we advise that you seek professional advice on a case-by-case basis before making any decisions. Please note that ING Belgium SA/NV cannot be held liable for any decision taken on the basis of the information provided.
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