Year-end closing and filing annual accounts with the NBB: a step-by-step guide

The legal calendar

For a Belgian company, closing follows a calendar set by the Code of Companies and Associations. For a financial year ending on 31 December, it looks like this:

• The board prepares the annual accounts and, where required, the management report.
• The general meeting approves the accounts within six months of year-end, i.e. by 30 June at the latest.
• The accounts are filed with the National Bank of Belgium within 30 days of approval, and no later than seven months after year-end, i.e. by 31 July.
• The corporate income tax return follows its own calendar, set each year by the FPS Finance.

Year-end adjustments

Before the accounts are drawn up, the books must reflect the real position at closing date. These are the year-end entries:

• Depreciation of fixed assets according to the depreciation plan.
• Stock count and work in progress.
• Prepaid expenses and accrued income, accrued expenses and deferred income.
• Write-downs on doubtful receivables and provisions for risks.
• Estimate of corporate income tax for the year.

The preparation checklist

A fast closing is prepared throughout the year. The cleaner the books in December, the less work is left in January. Before you start, check at least these points:

• Every invoice of the year is booked, including those received in January for the previous year.
• Bank accounts are reconciled up to 31 December and suspense accounts are empty (see our guide to CODA files).
• Customer and supplier balances are supported and old receivables reviewed.
• VAT, social security and payroll tax accounts agree with the returns filed.
• Contracts, loans and leases are up to date in the fixed-asset and debt schedules.

Filing with the National Bank

Annual accounts are filed through the Central Balance Sheet Office’s online application, in structured format (XBRL) or PDF depending on the model used: micro, abridged or full according to the size of the company. Filing is charged, and the fee depends on the model and format.

Late filing triggers a surcharge that grows with the delay. The real risk lies elsewhere: a company that fails to file for three consecutive financial years can be dissolved by the court, and in a bankruptcy the absence of filings can be held against the directors.

How much time to allow

For an SME with up-to-date books, closing takes a few working days spread over two to four weeks, the time needed to collect the last documents and inventory data. A file that is behind must first be caught up: that is what our Dossier Rescue is for.

If your team or accountant is short of hands in spring, our closing support service prepares the notes, depreciation schedules and review file, so the accountant only has to check and sign.