Luxembourg tax measures
25/03/2020
On 17 March 2020, the Luxembourg tax authorities (LTA) published a newsletter with tax measures for businesses in the context of the COVID-19 crisis.
Indirect tax
Luxembourg tax measures
CJ rules on restriction of eligibiltiy of energy tax rebate scheme
26/12/2019
On 14 November 2019 the CJ issued a preliminary ruling in the (second) Dilly’s Wellnesshotel case (C-585/17). Austria decided to limit an existing energy tax rebate scheme to the manufacturing industry as of 2011.
Luxembourg 2020 budget law introducing new tax measures and law implementing ATAD II passed
19/12/2019
Today, the budget law for 2020 and the law implementing into domestic law Council Directive (EU) 2017/952 of 29 May 2017 (“ATAD II”) have been passed by the Luxembourg Parliament.
CJ rules that non-EU pension funds can obtain the refund of dividend withholding tax
18/12/2019
CJ rules that non-EU pension funds can obtain the refund of dividend withholding tax if they are comparable to domestic pension funds (College Pension Plan of British Columbia
Luxembourg Parliament adopts MLI ratification law
18/02/2019
On 14 February 2019, the Luxembourg Parliament adopted the law ratifying the OECD Multilateral Convention to implement tax treaty related measures to prevent BEPS, better known as the ‘multilateral instrument’ (MLI).
New tax measures revealed in the coalition agreement published by the future government – ATAD Bill amendments
07/12/2018
Further to the elections for Parliament held in October this year, the former ruling coalition between the liberal, ecological and socialist parties emerged victorious and the Prime Minister was appointed by the Grand Duke to form a new government.
New France-Luxembourg Double Tax Treaty
28/03/2018
On 20 March, 2018, France and Luxembourg signed a new Double Tax Treaty (“DTT”), which was released yesterday. The aim of the new DTT is to replace the existing one that was signed in 1958, and amended 4 times since then. The DTT follows the structure and, for the most part, the content of the 2017 OECD Model Tax Convention.
EU Commission warns stakeholders of customs and indirect tax impact of Brexit
02/02/2018
On 30 January 2018, the EU Commission issued a notice regarding the impact of Brexit in the field of customs and indirect taxation.
In its notice, the EU Commission calls for preparedness from EU stakeholders, and recalls that, unless an agreement would provide for another date, the United Kingdom will have to be treated as a non-EU country as from 30 March 2019.
TAX UPDATE Q1 2017
26/01/2017
The purpose of this update is to inform you of aspects of 2017 tax reform that entered into force as of 1 January 2017. Indeed, the Luxembourg law implementing such tax reform was published in the official gazette on 27 December 2016.
Roundup of 2017 Tax News
25/01/2017
Since 1 January 2017, the overall corporate income tax rate of Luxembourg has been reduced from 29.22% to 27.08%. The new rate takes into account the corporate income tax (‘CIT’) as such (reduced to 19% instead of 21%), the solidarity surtax of 7% calculated on the CIT and the municipal business tax of 6.75% for the city of Luxembourg. It should be noted that this rate of 27.08% will be further reduced to 26.01% from 2018.
