Belgium

by John Flower, etc., Christian Lefebvre, and Lin Lianggi

Published 30 June 1994
At the start of the 1970s, Belgium was one of the most backward countries of Europe in the field of financial reporting. Legislation relating to annual accounts was archaic, and bookkeeping itself was confused, incoherent and - for most companies - rather primitive. In less than 20 years, financial reporting has been reformed and transformed, as Belgium has enthusiastically and comprehensively implemented the directives of the European Community. This text analyzes the developments over the past 20 years, describing in detail the different forces at work. It offers an overview of the business environment, as well as a guide to the financial system, taxation and current accounting practice. It includes a thorough exposition of the laws and regulations that currently govern financial reporting, using the accounts of a well known Belgian company as a reference. Particular attention is focused on the areas where Belgian practice differs markedly from others.