Belgium’s Queen Accused Of Tax Dodging By Government

Belgium’s Queen Fabiola’s plan to create a private fund for inheritance purposes has been met with criticism from both the public and the government, reported the Associated Press, after concerns grew that the move was an attempt by the queen to dodge taxes on a fortune largely amassed with public money.

Belgium’s Queen Fabiola’s plan to create a private fund for inheritance purposes has been met with criticism from both the public and the government, reported the Associated Press, after concerns grew that the move was an attempt by the queen to dodge taxes on a fortune largely amassed with public money.

On Thursday, Prime Minister Elio Di Rupo criticized the Queen for failing to inform either the government or even the king of her plans; which while strictly legal was ethically flawed, said Di Rupo.

The prime minister added that he “shared” the outrage the scandal had caused among the public and called for the royal family to set “an example” for the rest of the country.

[quote]”Because of the position of Queen Fabiola and the stipend annually provided by parliament, this fund causes ethical problems,” said Di Rupo, during a charged up parliamentary session, which included calls from some MPs demanding less powers for the monarchy.[/quote]

On her part, Queen Fabiola later insisted that none of the money afforded to her through annual stipends – almost 1.5 million euros a year – from the government would be channeled into the fund, which would see the queen bequeath her fortune to relatives and charities without having to pay Belgium’s 70 percent death duties.

“In no way did I ever plan nor do I plan to put money from the stipend into the foundation,” she said in a rare statement quoted by AFP.

[quote]”All the money from the stipend is used on the expenses of my home, the main item being the wages of the staff,” she added, claiming that the cash for the foundation would stem from her own resources, which included “property and art works that I carefully kept until today.”[/quote]

The 84-year-old queen is the widow of the late King Baudouin, who died in 1993. She became a popular national figure following her marriage in 1960 after her countless charitable efforts earned her the title as “Belgium’s first social worker.”

However, her reputation was damaged this week following the revelation of the fund, while the monarchy has also been criticized for taking Riviera vacations, despite the regional economic crisis.

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Di Rupo told parliament on Thursday that work to reform the generous royal stipend would be accelerated amid growing public dissatisfaction. Belgium’s largest opposition party, the Flemish separatist N-VA, has also called the dissolution of the monarchy, in a country where the throne remains one of the rare symbols keeping together Belgium’s French-speaking south and Dutch-speaking north.