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The Energy Tax Credit is a measure introduced by the Chamber of Deputies from July to compensate the postponement of the index and thus supporting households to face the soaring prices of energy.

In terms of fiscal measures, the exceptional Covid-19 measures put in place through mutual agreements with the border countries to enable homeworking have ended on 30 June 2022. From a fiscal point of view, the tolerance threshold of days worked abroad for non-resident employees is fixed from July 2022.

The new index comes into force on 1 April 2022, resulting in a 2.5% increase in wages, salaries and pensions.

In view of the uncertain evolution of the Covid-19 pandemic, the Luxembourg government has filed a new bill n°7916 aimed at extending the measures put in place by the law of September 23, 2020 until December 31, 2022.

The new index comes into force on 1 October 2021, resulting in a 2,5% increase of wages, salaries and pensions from this date. Learn more

The agreements on social and tax matters for french, belgian and german cross-border workers have been extended . Learn more

In the case C-288/19, the Court of Justice of the European Union recently decided on the VAT treatment of company cars, which are put at the disposal of the company’s employees for private use. Read more

Payroll Newsflash: read more about the news in tax matters in the context of the COVID-19 crisis

On 14 October 2020, the Luxembourg Ministry of Finance presented the 2021 Draft Budget Law (n°7666) (“Draft Law”) to the Chamber of Deputies, setting out a number of tax measures. It was announced that, due to the COVID-19 pandemic, the main focus will be put on containing the effects of the crisis. Therefore, instead of increasing taxes and conducting a general tax reform, a number of amendments which aim at restoring tax justice and improving economic sustainability were addressed.

Payroll Newsflash: read more about the last changes in legislation in the context of the COVID-19 crisis

Payroll Newsflash: read more about the last changes in legislation in the context of the COVID-19 crisis

Law of 22 May 2020 extended the deadlines for having the financial statements approved by the shareholders and for the filing of those annual accounts, consolidated accounts as well as the related reports.

Payroll Newsflash: read more about the last changes regarding social security and emergency fund for very small businesses and self-employed workers in the context of the COVID-19 crisis

Our report identifies key financial reporting areas that entities need to consider when determining the impact on their business, and on the results, financial position and disclosures in their financial statements.

How are you providing crucial regulatory information timely and keeping financial soundness under control?

On 30 March 2020, the Luxembourg Government filed a Bill n°7547 (“Bill”) with the Luxembourg Chamber of Deputies, setting out legislation that disallows the tax deduction of interest or royalties paid or due to associated enterprises established in jurisdictions listed on EU’s list of non-cooperative jurisdictions for tax purposes (“black list”).