Copyright and software: what is changing for IT in 2026

The personal income tax reform introduced by the law of 15 July 2026 brings computer programs (your software, your code) back into the copyright tax regime, from which they’d been excluded following the 2022 reform. Here’s what this changes in practice for developers, IT consultants and tech companies, and under what conditions.

An exclusion corrected after three years

Two points worth clarifying: why that exclusion didn’t hold up, and who can now benefit from the regime again.

An exclusion that was hard to justify

Since 1 January 2024, income derived from computer programs could no longer qualify for the copyright tax regime. This exclusion, introduced by the Programme Law of 26 December 2022 after a transitional period that ended at the end of 2023, was hard to justify: the Code of Economic Law treats computer programs as literary works, protected as such by copyright. Software developers who met the regime’s legal conditions were nonetheless automatically excluded, while other creative digital professions (web designers, graphic designers, content creators) continued to benefit from it.

Who can benefit from the regime again

The 2026 reform corrects that imbalance. Software developers and related IT professions can benefit from the regime again for income paid or attributed from 1 January 2026 onwards: software developers, software architects, IT consultants creating original code, and tech companies developing solutions intended to be marketed or used by third parties.

That said, this reinstatement doesn’t make the regime automatic. The legal conditions remain fully applicable and need to be examined carefully before the regime is applied.

An attractive regime subject to strict conditions

The copyright tax regime is reserved for income derived from the actual exploitation of original literary or artistic works protected by copyright.

Eligibility conditions

As with other eligible creative professionals, a developer must demonstrate they create an original, copyright-protected work (software code, an application, a module, a script) that constitutes their own intellectual creation, with a genuinely original and creative character. The rights also need to be actually assigned or licensed to a third party, for the purposes of communication to the public, performance, public display or reproduction, and that assignment or license has to be set out contractually. Purely internal IT development, without any contractual transfer of rights, therefore doesn’t meet the regime’s conditions. A case-by-case assessment remains necessary to determine eligibility.

Applicable caps

Three limits frame the regime. The average gross copyright income received over the previous four taxable periods can’t exceed EUR 77,220 (amount indexed for 2026 income). Above that, all the income is taxed at progressive rates as professional income. The absolute annual limit is set at that same EUR 77,220. Above that threshold, the excess income is reclassified as professional income and taxed as such. Finally, a relative limit provides that copyright income can’t exceed 30% of the taxpayer’s total remuneration, but only where the assignment or licensing of the rights comes with a professional service provided by the transferor to the transferee.

Despite this limitation, the tax benefit remains considerable. Copyright income is taxed as movable income, at a 15% rate, whereas ordinary professional income is subject to the progressive personal income tax rates, with a marginal rate of (~)53.5% from EUR 51,070 (indexed amount for income 2026 – assessment year 2027) of taxable income.

The end of lump-sum expense deductions for IT

A mechanism that existed before 2026, and what’s actually changed for beneficiaries of the copyright tax regime as from this date.

How the lump-sum deduction used to work

Historically, the copyright tax regime’s attractiveness wasn’t just the 15% rate. Gross copyright income could also be reduced by lump-sum expense deductions (50% up to EUR 20,590, 25% between EUR 20,590 and EUR 41,180; amounts indexed for 2026), which lowered the taxable base and reduced the effective taxation even further. A taxpayer receiving EUR 20,000 in gross copyright income could deduct 50% lump-sum, bringing their taxable base down to EUR 10,000; resulting in a tax of EUR 1,500 or an effective rate of just 7.5%.

What’s changed for IT since 2026

From 1 January 2026, this lump-sum deduction is reserved for taxpayers holding an arts work certificate at the time the income is paid or attributed. In practice, other taxpayers (including IT professionals) can no longer use this lump-sum deduction. They can still deduct their actual expenses, though, provided these are properly evidenced and documented.

Even without the lump-sum deduction, the regime remains particularly attractive given the significant difference in tax treatment compared to ordinary professional income. A proper numerical analysis, factoring in the individual’s profile, the amount of their remuneration and their actual expenses, remains essential to determine the practical benefit of the regime in each specific case.

Securing the application of the regime: documentation and rulings

The application of the copyright regime is regularly scrutinized by the tax authorities. Proper implementation and thorough documentation are therefore essential.

The evidence file we build with you

We can support clients at every stage: assessing the eligibility of developers and IT consultants, structuring remuneration policies that include a copyright component, and drafting or adapting the contractual copyright assignment clauses. We then put together a complete evidence file including:

• the copyright assignment or licensing agreements
• the evidence demonstrating the originality of the creations
• proof of their exploitation or distribution or public communication
• a description of the activities carried out
• any additional documentation that justifies applying the regime in the event of a tax audit

Applying for a ruling from the Ruling Commission

To give the arrangement proper legal certainty, we also help clients prepare and file advance tax ruling requests with the Ruling Commission. Our support includes a preliminary eligibility review, prefiling, the formal filing of the ruling, correspondence with the Ruling Commission, responding to any requests for further information, and follow-up until the ruling is obtained. A favourable ruling gives you upfront confirmation of the intended tax treatment, and secures the position of both the company and its collaborators for the whole validity period of the ruling.

Want to check whether your developers or IT consultants can benefit from the copyright regime? We can run a preliminary audit, assess the risks and opportunities, and support you through the ruling process.

FAQ

Since when have software developers been eligible for the copyright regime again?

Since 1 January 2026: the reform on the copyright tax regime applies to income paid or attributed from that date onward.

Can all developers automatically benefit from the regime?

No, the legal conditions must still be met. Every situation requires an individual assessment: the developer needs to create an original, copyright-protected work and assign or licence their rights to a third party through a contract for the purposes of communication to the public, performance, public display or reproduction. Purely internal IT development, with no contractual assignment, therefore doesn’t meet the conditions.

What’s the income cap for the regime in 2026?

The cap is set at EUR 77,220 gross for income 2026. Amounts exceeding this threshold are taxed as professional income at progressive rates. In addition, taxpayers must also comply with the four-year preceding averaging rule and, where copyright income is linked to the provision of a professional service, the 30% cap of the taxpayer’s total remuneration.

Can IT professionals still deduct lump-sum expenses?

No, unless they hold an “arts work” certificate. From 1 January 2026, this lump-sum deduction is reserved for holders of that certificate. IT professionals can still deduct their actual expenses, provided these are properly justified and documented.

How can you make the regime watertight against a tax audit?

By documenting the arrangement thoroughly (transfer agreements, evidence of originality, proof of exploitation, a description of the activities involved) and by obtaining an advance ruling from the Ruling Commission that confirms the applicable tax treatment for the whole duration of its validity.