|Extent of IFRS application||Status||Additional Information|
|IFRS Accounting Standards are required for domestic public companies||All domestic companies whose securities trade in a regulated market are required to use IFRS Standards as adopted by the EU in their consolidated financial statements.|
|IFRS Accounting Standards are permitted but not required for domestic public companies|
|IFRS Accounting Standards are required or permitted for listings by foreign companies||IFRS Standards as adopted by the EU are required in their consolidated financial statements except that a foreign company whose home jurisdiction’s standards are deemed by the EU to be equivalent to IFRS Standards may use its home standards.|
|The IFRS for SMEs Accounting Standard is required or permitted||No.|
|The IFRS for SMEs Accounting Standard is under consideration||No.|
Profile last updated: 18 July 2016
As a member state of the European Union, Belgium is subject to EU 1606/2002 Regulation on the application of international accounting standards (IAS).
The EU IAS Regulation requires application of IFRS Standards as adopted by the EU for the consolidated financial statements of European companies whose securities trade in a regulated securities market starting in 2005. The EU IAS Regulation gives member states the option to require or permit IFRS Standards as adopted by the EU in separate company financial statements (statutory accounts) and/or in the financial statements of companies whose securities do not trade in a regulated securities market. See the Profile for the European Union for more detailed information about the EU IAS Regulation.
In Belgium, the following are regulated markets:
Belgium used the option under the IAS Regulation to:
IFRS Standards as adopted by the EU are required in the consolidated financial statements of credit institutions (with one exception – see next paragraph), insurance companies, and investment firms whose securities do not trade in a public market.
If an unlisted credit institution is a wholly-owned subsidiary of a foreign parent, preparation of IFRS consolidated statements may not be required if certain conditions are met, including the filing of consolidated financial statements of the foreign group in a Belgian local language (French or Dutch).
IFRS Standards as adopted by the EU are permitted in the consolidated financial statements of other companies whose securities do not trade in a public market.
Foreign companies whose securities trade in a regulated market in Belgium (and generally in the EU) are required to report under IFRS Standards as adopted by the EU for their consolidated financial statements unless the European Commission has deemed their local accounting standards to be equivalent to IFRS Standards, in which case they may use their local standards.
This is laid out on the ‘Financial Reporting’ page of the European Commission’s website.
The European Union has 24 official and working languages. They are: Bulgarian, Croatian, Czech, Danish, Dutch, English, Estonian, Finnish, French, German, Greek, Hungarian, Irish, Italian, Latvian, Lithuanian, Maltese, Polish, Portuguese, Romanian, Slovak, Slovene, Spanish and Swedish. Before they are published in the Official Journal of the European Union, and therefore become binding under EU law, individual IFRS Standards must be translated into all of those languages (other than English and Irish). Those translations are published in the Official Journal of the European Union pursuant to a copyright waiver agreement with the IFRS Foundation.
Pursuant to a copyright waiver agreement with the Directorate-General for Translation of the European Commission, the Commission takes care of the translation into the official languages according to their own translation process. The translation only the standards and mandatory guidance, which is then published in the Official Journal of the European Union.
In addition, some countries (usually the standard setter or institute) have a translation contract with the IFRS Foundation to produce an ‘official translation’ for publication of a bound volume of IFRS Standards (usually the ‘Red Book’) and publication, in some cases, of individual standards and exposure drafts.