New Vehicle Registration Tax in Wallonia

As of July 1, 2025, Wallonia will introduce a reformation of the vehicle registration tax (VRT) with the aim of reducing the tax burden for certain categories of households and encouraging the adoption of more environmentally friendly vehicles.

Households with at least three children will be entitled to a €250 reduction on the VRT for one vehicle, whether new or used, and regardless of the type of engine. This measure replaces the previous €100 reduction.

Single-parent families who receive the additional “mono” allowance will also be entitled to a €250 reduction on the VRT for one vehicle. This measure, which cannot be combined with the benefit for large families, will take effect on July 1, 2026, once the databases of the Walloon Agency for Quality of Life (AViQ) and the Walloon Public Service for Finance (SPW Fiscalité) are integrated.

For 100% electric vehicles, the energy coefficient used in the calculation of the BIV will be reduced. This will lead to a significant decrease in the tax for such vehicles. For example:

• The registration tax for a Renault 5 E-TECH will drop from €81.51 to €50
• For a Volkswagen ID.4, it will drop from €601.84 to €334.35

Vehicles over 30 years old will benefit from a fixed minimum amount of €61.50 for the registration tax upon purchase, in order to avoid excessive taxation and to protect this niche sector.

New BIV Calculation Formula:

BIV = MB × (CO₂ / X) × (M / Y) × C – FN

Where:

• MB: Base amount based on engine power (in kW)
• CO₂: CO₂ emissions of the vehicle
• X: Specific factor (115 for WLTP standard, 136 for NEDC standard)
• M: Maximum authorized mass of the vehicle
• Y: Reference mass (1,838 kg)
• C: Energy coefficient based on fuel type
• FN: Discount applicable for large families or single-parent families

The VRT will also decrease based on the vehicle’s age:

• A 10% reduction per year for the first 5 years
• Followed by a 5% reduction per year between 6 and 15 years

Expected Tax Relief in 2026:

The reform is expected to lead to a total tax reduction of:

• €7.5 million for large families
• €2.5 million for single-parent families
• €4 million for electric vehicles

The annual road tax will remain unchanged.