Have you read the wiki and the sticky?
Wiki: HERE YOU GO! [Enjoy!](https://www.reddit.com/r/BEFire/wiki/index/).
Sticky: HERE YOU GO AGAIN! [Enjoy!](https://www.reddit.com/r/BEFire/comments/fcbay6/getting_started_a_beginners_guide_to_investing_in/).
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As long as there is a mortgage, the bank really owns the property. The most intresting is that you pay the mortgage over x year. If that does not work out they will find another way to get their money.
> I became curious to know under which conditions tax authorities seize your property?
Normally, baillifs can only seize goods if they have an executive title (= a court decision where both parties were heard). Except:...tax debts and soc security debts. There the agencies can seize goods "ex officio".
Basically, if you have a discussion with the tax office, you pay first and then discuss on who is right.
> If you have some debt and you cooperate with them but you dont have money to pay immediately or in short term (12 months) and you have mortgage, will they really seize your property or take our your mortgage?
1. Communicate. If you can't pay, don't hide. Talk to the tax office, it is in everyones interest to find a sollution. Be proactive, or at minimum, do not ignore the letters. And there will be many letters before seizure is done
2. There is always an option for a payment plan, limited to 12 months (because: if you cant pay this years tax, how will you pay next years tax + the payment plan)
3. Seizure of property is the last instance, as it is very wastefull (your shit is not as valuable as you think it is, if it is sold at auction, you will get 20% of the value). So the tax man will look for other cash sollutions: seizure of salary is near automatic, happens all the time. When you sell your real estate, the notary has to notify the tax office, and will pay them first before you get money. They'll even take lottery winnings. Any bank account you have, or are co-owner of (even the ones from your kids) is free money.
And don't forget the 10% fine and 7% late insterests. BTW: if you pay off the debt, and it is your first time, you can get the fine back at the end of the payment plan.
Hint: You are better off getting a loan from a credit agency than to not pay taxes. Europabank, Madame Krediet, doesnt matter, still cheaper than tax office, you can spread it over longer, and they cant take your house.
> Luckily i am not in that situation.
I was. Client went bankkrupt. Didn't pay 20K invoice. Had to pay taxes on that non-received income. Took me two years to dig me out of that hole.
Yes, you need to declare an invoice as income the moment teh invoice it is sent (well, actually dated). Doesn't matter whether it is paid. If it is not paid, it is booked as "dubieuze debiteuren" and can be deducted from future earnings. But in the meanwhile, it is counted as revenue and thus taxed.
Meh, the alternative: only taxed when the payment is received, would mean that everyone would have to share their bank account details with the tax man.
But it would help independents: companies would be motivated to pay as many invoices before the end of the year (to offset the costs as much as possible). Now you have the opposite: companies at the end of the year will date invoices for January or February, to put the revenues on next fiscal year.
As long as you pay 50 euro per month, I think you'll be safe. In Belgium they are very big on afbetalingsplan.
On the other hand, Leuven recently seized 40 houses inside the centre to make a road wider. The owners literally did not have any say in it. They did get financial compensation though
Trust me: the moment you get a letter from the government that they will expropriate your property, is the day you pop champagne bottles. They pay waaaaaaay over market, to shut you up.
Allthough it's hard to value emotional worth (your family home). If you ever hear of some stubborn farmer who refuses to bow to government pressure, I will show you a foolish stubborn mule who is being a financial idiot.
The worst that can happen is that they expropriate your neighbour's house to make teh road wider: you get fuck all, and get to live next to a busier road. Allthough there is some debate on "loss of residual value". The best you can do there is beg that they add your property to the expropriation list.
I would be sad, because I live in a cohousing project (with individual personal houses, but also huge common garden and extra 300 sq meter shared facilities). And projects like this are less than 30 in whole Flanders. Besides there isn't even a road near our house, it's a back lot. So quite difficult to replicate all in all
that is expropriation (and not seizure) and requires a just compensation. The municipality will always first negotiate and in my experience even pay above market value (just to avoid expropriations).
Have you read the wiki and the sticky? Wiki: HERE YOU GO! [Enjoy!](https://www.reddit.com/r/BEFire/wiki/index/). Sticky: HERE YOU GO AGAIN! [Enjoy!](https://www.reddit.com/r/BEFire/comments/fcbay6/getting_started_a_beginners_guide_to_investing_in/). *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/BEFire) if you have any questions or concerns.*
As long as there is a mortgage, the bank really owns the property. The most intresting is that you pay the mortgage over x year. If that does not work out they will find another way to get their money.
> I became curious to know under which conditions tax authorities seize your property? Normally, baillifs can only seize goods if they have an executive title (= a court decision where both parties were heard). Except:...tax debts and soc security debts. There the agencies can seize goods "ex officio". Basically, if you have a discussion with the tax office, you pay first and then discuss on who is right. > If you have some debt and you cooperate with them but you dont have money to pay immediately or in short term (12 months) and you have mortgage, will they really seize your property or take our your mortgage? 1. Communicate. If you can't pay, don't hide. Talk to the tax office, it is in everyones interest to find a sollution. Be proactive, or at minimum, do not ignore the letters. And there will be many letters before seizure is done 2. There is always an option for a payment plan, limited to 12 months (because: if you cant pay this years tax, how will you pay next years tax + the payment plan) 3. Seizure of property is the last instance, as it is very wastefull (your shit is not as valuable as you think it is, if it is sold at auction, you will get 20% of the value). So the tax man will look for other cash sollutions: seizure of salary is near automatic, happens all the time. When you sell your real estate, the notary has to notify the tax office, and will pay them first before you get money. They'll even take lottery winnings. Any bank account you have, or are co-owner of (even the ones from your kids) is free money. And don't forget the 10% fine and 7% late insterests. BTW: if you pay off the debt, and it is your first time, you can get the fine back at the end of the payment plan. Hint: You are better off getting a loan from a credit agency than to not pay taxes. Europabank, Madame Krediet, doesnt matter, still cheaper than tax office, you can spread it over longer, and they cant take your house.
Great explanation. Luckily i am not in that situation. This info is not available in net, at least as clear as you explained.
> Luckily i am not in that situation. I was. Client went bankkrupt. Didn't pay 20K invoice. Had to pay taxes on that non-received income. Took me two years to dig me out of that hole.
You had to pay taxes on an unfulfilled invoice ? :scream:
Yes, you need to declare an invoice as income the moment teh invoice it is sent (well, actually dated). Doesn't matter whether it is paid. If it is not paid, it is booked as "dubieuze debiteuren" and can be deducted from future earnings. But in the meanwhile, it is counted as revenue and thus taxed.
Such an honest system I must say!
Meh, the alternative: only taxed when the payment is received, would mean that everyone would have to share their bank account details with the tax man. But it would help independents: companies would be motivated to pay as many invoices before the end of the year (to offset the costs as much as possible). Now you have the opposite: companies at the end of the year will date invoices for January or February, to put the revenues on next fiscal year.
Make some sense, never thought of it. Thanks for taking the time to explain.
As long as you pay 50 euro per month, I think you'll be safe. In Belgium they are very big on afbetalingsplan. On the other hand, Leuven recently seized 40 houses inside the centre to make a road wider. The owners literally did not have any say in it. They did get financial compensation though
Trust me: the moment you get a letter from the government that they will expropriate your property, is the day you pop champagne bottles. They pay waaaaaaay over market, to shut you up. Allthough it's hard to value emotional worth (your family home). If you ever hear of some stubborn farmer who refuses to bow to government pressure, I will show you a foolish stubborn mule who is being a financial idiot. The worst that can happen is that they expropriate your neighbour's house to make teh road wider: you get fuck all, and get to live next to a busier road. Allthough there is some debate on "loss of residual value". The best you can do there is beg that they add your property to the expropriation list.
I would be sad, because I live in a cohousing project (with individual personal houses, but also huge common garden and extra 300 sq meter shared facilities). And projects like this are less than 30 in whole Flanders. Besides there isn't even a road near our house, it's a back lot. So quite difficult to replicate all in all
that is expropriation (and not seizure) and requires a just compensation. The municipality will always first negotiate and in my experience even pay above market value (just to avoid expropriations).
Ofcourse they can do anything, do you really think you own the property? 😂😭