Law and regulation of Covid-19 tax relief in Luxembourg

Value Added Tax

  • No penalties in case of late filing of VAT returns until further notice by the Luxembourg VAT authorities.
  • Automatic reimbursement of VAT credit balances of up to EUR 10,000.

Corporate Income Tax

  • Extension of filing deadline for (corporate) income tax, municipal business tax and net wealth tax returns to 30 June 2020.
  • Cancellation (on demand) of obligation to pay quarterly advances for corporate taxpayers and self-employed for 1st and 2nd quarter 2020.

Social Security Contributions or Payroll Tax

  • Suspension of
    • Late interest
    • Forced recovery and other enforcements
    • Fines for late filing of social security reporting
  • Reimbursement of salary costs related to leave for family reasons due to Covid-19

Other relief measures

  • N/A

Additional comments

  • N/A