COVID-19 Coronavirus: Global Tax Update (Luxembourg)

Luxembourg Tax Measures in Response to COVID-19

The Luxembourg tax authorities have announced the following measures to support taxpayers in Luxembourg in the light of the Covid-19 pandemic:

• Tax deferrals. Luxembourg businesses may apply for the cancellation of their provisional tax payments, and/or an extension of time for payment of corporation taxes and net wealth tax.

• Extension of Filing Deadlines. The deadline for filing the annual tax return has been extended to 30 June 2020. Late filing of the quarterly subscription tax return (due on 20 April 2020) and VAT returns, due to the COvid-19 pandemic, will not result in penalties.

• Cross border commuters. Days spent working from home in France or Belgium during the COVID-19 crisis by French and Belgian cross border commuters employed in Luxembourg will be deemed spent working in Luxembourg for the purpose of determining individuals’ tax residence.