On 9 October 2008, the Belgian tax administration published a clarifying circular No. Ci.RH.421/574.945 (AOIF 36/2008) on the notional interest deduction. This deduction, which is applicable from 1 January 2006, is based on the company's equity, i.e. its share capital (subject to certain adjustments) and retained earnings at the end of the preceding financial year The most important clarifi…