Treaty between Belgium and France – Court of Appeal of Brussels decides compensation received per non-competition clause classified as employment income

On 20 September 2007, the Court of Appeal of Brussels decided a case on the classification under the Belgium-France tax treaty on income and capital of 10 March 1994 (the "treaty") of a compensation received pursuant to a non-competition clause in an employment agreement. Details of the case are described below.

(a) Facts. The taxpayer was a Belgian resident. On 1 March 1983, he started employment with a French company in France, moved to France and became a r…