3D cephalometry: a new approach for landmark identification and image orientation

Cephalometry is the scientific study of the measurement of the head in relation to specific reference points. In 3D CT cephalometry, these points are identified on three-dimensional surface models generated from computed tomography scans. In this study a new approach for 3D cephalometry is presented, which should improve reproducibility of the technique and allow accurate comparison of pre- and postoperative data

The redistributive character of taxes and social security contributions

The article aims to explain the redistributive character of taxes and social security contributions in Belgium, and to demonstrate the mechanisms behind that redistribution. Compared to the other EU-15 countries, Belgium has less primary income inequality. Moreover, there is a relatively high degree of redistribution in Belgium, so that – after taxes, social benefits and social security contributions – the disparities are among the smallest in Europe. As in other countries, this income redistribution is effected primarily via social benefits. However, redistribution via taxation on income also plays a very important role. The most strongly redistributive tax in Belgium is personal income tax, which is highly progressive. That is due principally to the structure of the tax scales and the amount of the tax allowance, and to the reduction in taxes on replacement incomes. The influence of social security contributions on the redistribution of income is relatively slight, although it is greater than in the majority of the EU-15 countries. VAT, which accounts for the bulk of indirect taxes, is slightly progressive in relation to expenditure, owing to the rate structure whereby the reduced rate and the zero rate apply to goods and services which are consumed to a proportionally greater extent by low-income households. Conversely, in relation to disposable income, VAT is degressive. That is because the savings ratio increases with each income decile. Excise duties are degressive, in relation to both household spending and household income. This study also illustrates the fact that tax measures are seldom neutral in their effect on income redistribution. However, this effect is clearly dependent on the practical aspects of this type of measures. The personal income tax reform approved in 2001 and the introduction of the work bonus increased the progressive effect of the compulsory levies on earned income and reduced the average rate of the levy. While the impact of increases in excise duties on fuel is more mixed in terms of redistribution, the recent increases in excise duty on tobacco have accentuated their degressive character.taxes and social contributions, income distribution, redistributive effects

Recent trends in corporate income tax

The article describes the recent international developments regarding the corporate income tax and the way in which the Belgian government is trying to respond. For this purpose, it begins by discussing the various indicators which measure the tax burden on corporate profits. Next, it illustrates the trend towards declining statutory corporate tax rates throughout Europe in the last two decades. It is highly likely that the downward trend in nominal rates will persist in the near future. But these nominal rate cuts seem to have been accompanied by an at least equivalent expansion of the tax base, so that government revenues generated by the corporate income tax have actually increased overall. Belgium is following the international trend towards lower nominal rates and a wider tax base. The corporate income tax reform which took effect on 1 January 2003 aimed to eliminate the difference between the Belgian nominal rate and the EU-15 average. The most recent reform introduced the venture capital allowance from the 2007 tax year. This innovative measure reduces the discrimination between the tax treatment of equity capital and borrowings. The differential between the Belgian rate and the EU average has however since 2003 widened again to around 4 to 5 percentages points and will – in the absence of new measures – probably continue to increase in the near future. Finally, the article focuses on the European coordination of corporate income tax. The existence of twenty-seven different corporate income tax systems in the EU entails substantial cost for multinationals. At the same time, there is the fear that tax competition may erode the tax proceeds. Both the EC and a number of committees of experts have therefore published reports in the recent decades, proposing a high degree of corporate income tax harmonisation. So far, these initiatives have not succeeded. More specific initiatives, such as directives aiming to abolish tax distortions in the case of cross-border activities and measures to combat harmful competition have been more successful. The EC is now concentrating on achieving a common consolidated tax base for multinationals.corporate tax, tax competition, EU tax coordination

Trends in taxation of privately held assets

In most advanced countries, the budgetary rebalancing effort to be accomplished is considerable, with the result that new sources of finance are frequently being sought out. In Belgium, where levies on labour are already very high, there are those raising the possibility, in this context, of additional taxes on consumption or activities that cause pollution, as well as that of a rise in taxation on wealth and the income from wealth of private individuals. The article attempts to position Belgium’s existing levies on income from wealth and wealth itself in relation to those applying in the other countries of the EU. Whilst not claiming to be exhaustive in any way, it is intended to present the main characteristics and trends. It takes a look firstly at some statistical and methodological aspects of levies on wealth and the income from wealth. Then, the situation in Belgium is analysed. This analysis is followed by an international comparison, within the bounds of what is possible, of the scope and level of the various levies linked to the assets of private individuals. Lastly, a concise account is provided of advances with respect to cooperation on tax matters at the international level as well as the European directive on the taxation of savings. It is no simple matter to compare levies on the wealth of private individuals, owing to the complexity of the systems and the diversity of the components of wealth. Nevertheless, several general findings can be expressed. Compared to the average in the EU, levies on the wealth of private individuals and the income that they draw from it in relation to GDP are fairly substantial in Belgium overall. This is due in part to the relatively significant volume of assets held by private individuals in Belgium, but also to the rates of certain levies. It should be noted that in Belgium, the annual income from wealth is generally taxed moderately and levies on capital gains are virtually non-existent. On the other hand, wealth-related transactions such as the purchase of housing and the inheritance of estates are taxed relatively heavily. The actual rate of taxation is distributed very unfairly between the different forms of assets. Some are heavily subsidised, by way of tax deductions granted in the context of taxation of natural persons, such as pension savings, whilst some financial products, particularly those with short terms to maturity, are taxed quite heavily. At the international level, it is the case that levies on wealth in the strict sense have disappeared in most countries over the last twenty years. They have persisted in a number of countries and it is not impossible that the need to undertake budgetary consolidation will prompt others to reinstate them. In the last few years, an effort has been made to reduce international tax evasion, particularly tax evasion relating to income from wealth. In fact, the free circulation of capital and the lack of coordination between countries provided private individuals with the opportunity to evade tax on income from wealth. In order to combat tax evasion effectively, the OECD has been encouraging transparency and the exchange of tax information for about fifteen years. In 2009, under international pressure, numerous countries (including Belgium) took measures to comply with the OECD’s tax standards. At the EU level, the member states adopted a directive on the taxation of income from savings in 2003. Omissions in the current text, which has been in effect since 1 July 2005, provide private individuals with various opportunities to get round the directive. In 2008, the EC proposed some modifications to the directive in order to rectify these problems. Nevertheless, the new text has not yet been adopted by the Ecofin Council.

De samenwerking inzake het verzekeringstoezicht tussen de FSMA en de CDZ

Dit artikel bespreekt de samenwerking tussen de Autoriteit voor Financiële Diensten en Markten en de Controledienst voor de Ziekenfondsen en de Landsbonden van Ziekenfondsen inzake het toezicht op de naleving van de ziekteverzekeringswetgeving

The economic recovery plans

Economic recovery plans make up a important part of the wide-ranging package of measures that economic policy-makers worldwide have taken in response to the financial and economic crisis. More specifically, the EU Member States have either approved or announced fiscal measures to boost economic growth amounting to a total of 1.1 p.c. of GDP in 2009 and 0.7 p.c. of GDP in 2010 for the EU as a whole. In the United States, the cumulative budgetary cost of the recovery measures over 2009 and 2010 should reach 5.4 p.c. of GDP. However, fiscal support for economic activity through the automatic stabilisers is greater in the EU than in the US. A comparison of policy responses, as regards both the scope and composition of the recovery plans, shows that there are significant divergences amongst the EU Member States themselves. Differences in terms of the extent of the recovery plans are in accordance with the European economic recovery plan’s call for account to be taken of differences in initial budgetary positions when drafting the national plans. Moreover, the European recovery plans consist of a wide range of measures, which, on the whole, are quite evenly distributed over the revenue and expenditure sides of the equation. The growth-supporting measures may be able to ease the recession in the short term, but the impact they will have is uncertain and possibly even fairly limited. An optimum effect of the recovery plans on economic growth in the short term would only really be reached if a number of preconditions are met first. So it is clear that the growth-stimulating measures need to be timely, temporary and targeted, conditions that are not always met. Furthermore, the effectiveness of the measures taken is to a large extent determined by the reactions from private economic agents. In this respect, an essential precondition is for there to be no doubt about the sustainability of government finances over the long run. However, combined with the already weak budget positions that some countries had to start with, the economic recovery plans and the effect that the recession has on the budget situation via the relatively large automatic stabilisers have seriously affected the state of public finances in many countries.fiscal stimulus, financial and economic crisis, EERP (European Economic Recovery Plan

Social security finances

One of the government’s main functions is to protect the population against a number of social risks. Hence, replacement incomes are provided in the event of unemployment, old age or occupational disability. Income supplements are granted to compensate in part for the financial burden associated with illness or with bringing up children. These social benefits are an important facet of the redistribution of income effected by the government. In Belgium, social protection is provided mainly by the social security sub-sector, which is the largest component of the general government sector. The level of government expenditure on social protection in Belgium is, expressed as a percentage of GDP, above the European Union average. This is due mainly to relatively higher expenditure on pensions and unemployment. The Belgian social security sector expanded strongly in the 1970s. In the ensuing period, total social security receipts and expenditure remained relatively stable on average; expressed as percentages of GDP, they stood in 2000 at roughly the same level as in 1980. During this period, however, there was a “stop and go” policy on expenditure and receipts : expansion periods were followed by periods in which a more restrictive policy was pursued. In recent years, social security has again been expanding, although only to a more limited extent. Over the years, the structure of social security spending has changed significantly : due to the strong rise in health care expenditure, this spending item has now become the most important component, just ahead of pensions. Since receipts and expenditure have hitherto moved very much in parallel, the financial balance of social security has always hovered around equilibrium. At present, the social security sector is not only free of any financial liabilities, it actually has substantial financial assets. Population ageing will clearly exert strong upward pressure on future expenditure on pensions and health care. This increase can be only partly offset by the predicted decline in unemployment expenditure and family allowances. Therefore, social security will have to face a major financial challenge in the (near) future.Belgian public finance, social security, social protection expenditure

The finances of the communities and regions

Throughout the successive phases of the Belgian state reform, powers were increasingly devolved from federal level to the communities and regions. The present article deals with the revenues and expenditure of the communities and regions. The article also contains an analysis of the changes in the financing balance and debt level. Finally, the results of the projections regarding the movement in community and regional finances are also highlighted. The analysis concerns both the communities and regions as a whole, and the individual federated entities. In order to eliminate the influence of institutional differences and compare more uniform entities, a distinction is also made between the north and south of the country. The past decade has seen a systematic improvement in the financing balance of the communities and regions. The explanation for this improving trend lies in the fact that the real rate of growth in their primary expenditure was lower than the growth of their revenues. Revenues in fact increased sharply. During the so-called transitional period which ended in 1999, the special mechanisms provided under the Finance Act indeed contributed towards a very steep increase in the funds allocated in respect of personal income tax. As regards the part of personal income tax allocated to the communities and regions, the gradual switch to an allocation formula based on the proceeds of the personal income tax collected in each entity caused the Finance Act funding to rise faster in the north than in the south. Since revenues have grown faster than expenditure over the past ten years in each entity – with expenditure rising by more in the north than in the south of the country – all the communities and regions succeeded in achieving an improvement in their financing balance. In order to achieve the target of a balanced budget in 2010, set by the High Council of Finance, the increase in expenditure for the communities and regions as a whole must not outpace GDP growth. The permissible expenditure growth will probably not be the same for each individual entity. In the north, expenditure can increase by slightly more than in the south, partly because the north has scope for gradually reducing its surplus, while in the south the deficits – albeit small – need to be eliminated.public finance, fiscal devolution, Belgian administrative reform, Finance Act, communities and regions