Besides the lowest level of VAT in the European Union (EU), Luxembourg's effective corporate income tax is among the most favorable in Europe. Accelerated depreciation and tax credits, applied to qualifying investments, complete the attractive tax climate, thus contributing to the successful creation of start-ups and to a high return on investment.
At a glance
- lowest VAT rate within the EU
- moderated effective corporate tax rate
- limited pressure on salary
- comprehensive participation exemption regime
- investment tax credits
- advantageous IP box
- extended non double taxation regime network.
| CONVENTIONS FOR THE AVOIDANCE OF DOUBLE TAXATION IN FORCE | |||
| Andorra | Ghana | Mauritius | South Korea |
| Argentina | Greece | Mexico | Spain |
| Armenia | Guernsey | Moldova | Sri Lanka |
| Austria | Hong Kong | Monaco | Sweden |
| Azerbaijan | Hungary | Mongolia | Switzerland |
| Bahrain | Iceland | Morocco | Taïwan |
| Barbados | India | Netherlands | Tajikistan |
| Belgium | Indonesia | Norway | Thaïland |
| Botswana (2022) | Ireland | Panama | Trinidad and Tobago |
| Brasil | Isle of Man | Poland | Tunisia |
| Brunei | Israel | Portugal | Turkey |
| Bulgaria | Italia | Qatar | Ukraine |
| Canada | Japan | Romania | United Arab Emirates |
| China | Jersey | Russia | United States of America |
| Croatia | Kazakhstan | San Marino | Uruguay |
| Cyprus | Kosovo | Saudi Arabia | Uzbekistan |
| Czechia | Laos | Senegal | Vietnam |
| Denmark | Latvia | Serbia | |
| Estonia | Liechtenstein | Seychelles | |
| Finland | Lithuania | Singapore | |
| France | Macedonia | Slovakia | |
| Georgia | Malaysia | Slovenia | |
| Germany | Malta | South Africa | |
| Conventions being negotiated | |
|---|---|
Albania |
New Zealand |
Egypt |
Oman |
Ethiopia |
Pakistan |
Kuweit |
Rwanda (signed) |
Kyrgyzstan |
United Kindom |
Mali |
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