Foreign Exchange Control: No restrictions on import or export of capital.
Accounting Principles: Lux GAAP (European Directives). Financial statements prepared annually.
Business Entities: Principally, corporation (S.A), limited liability company (s.a.r.l) other forms are also possible.
Residence: If registered office.
Basis: Net profit before tax with numerous exemptions.
Rate: Income Tax:
– Corporate Income Tax (CIT): 15% to 18%
– Multiple Business Tax (MBT): 3% to 9%
– Net Wealth Tax (NWT): 0.5% of net equity: minimum to EUR 4875,00.
Foreign Tax: Specific to countries according to double tax treaties.
Other: Numerous exemption for financial income/financial investments.
Tax Year: Accounting year
Residence: Tax residency if more than 180 days and if 90% of the household revenue are Luxembourg based.
Rate: Progressive up to 42%
Capital Gains on Shares: Exempted if held for more than 6 months.
VAT: Rates are 3%, 8%, 17%
Member Firm: Audit & Controls
Benoit Savary: email@example.com