Guidance by country: Belgium: residence
Where the income consists of interest, dividends or royalties a United Kingdom resident has to be the beneficial owner of the income in order to qualify for reduced Belgian withholding taxes.
Subject to a de minimis limit of £2,000, a UK resident who claims the benefit of the remittance basis is not entitled to any relief from Belgian tax on Belgian source income regardless of whether or not the income is remitted to the UK (Article 28(1) of the Agreement). A resident of either state is defined in standard terms (see INTM153050) but Article 4(4) provides that the Government, a political subdivision or a local authority of either country is to be regarded as a resident of that country even though not liable to tax by reason of domicile, residence etc there. Claims that certain other Government institutions or agencies similarly qualify should be referred to CTIAA, Tax Treaty Team.
Article 4(5) confirms that pension schemes established in a state and charities and certain other non-profit organisations resident in a state shall be considered residents of that state for the purposes of the Convention.