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Generic Tax Name Withholding tax on savings (national)
Tax name in the national language Retenue à la source libératoire sur certains intérêts produits par l'épargne mobilière
Tax name in English Withholdings tax on interest payments (for fiscal residents)
Member State LU-Luxembourg
Tax in force since 2005/12/23
If abolished, date on which the tax ceases to apply
Business version date 2015/01/01
Version date 2015/02/17
This file was last updated on

Type of tax
Direct taxes Personal income tax
Corporate income tax
Other

Indirect taxes VAT
Excise duty (EU harmonised)
Alcoholic beverages
Energy products and electricity
Manufactured tobacco
Other

Social security contribution Employers
Employees
Other
 
Legal base

Law of 23 December 2005 on

1.the Introduction of an automatic Withholding Tax on certain interest payments generated by savings in transferable assets;

2.the abolishment of wealth tax for individuals;

3.the change of certain provisions of the modified Law of 4 December 1967 concerning Personal Income Tax. (Mémorial A, N°215, p. 3265 of 28 December 2005).

Law of 17 July 2008 modifying the Law of 23 December 2005 (see above), (Mémorial A N° 107, p. 1510 of 25 July 2008).

 
Who sets
The tax rate is set by




The tax base is set by




The reliefs are set by




Comments
There are no reliefs.
 
Beneficiary





Comments

 
Geographical Scope

Luxembourg.

 
Taxpayers

Luxembourg residents - persons claiming not to be Luxembourg taxpayers have to produce a certificate by a foreign tax authority.

 
Tax object and basis of assessment

Interest payments of different types:

  • those paid to beneficiaries or figuring in their bank account;
  • those accrued or capitalized at the moment of a sale, a purchase or a reimbursement of an asset generating interest payments;

Interest payments generated on bank accounts where the applicable tax rate is more than 0.75%.

 
Deductions, Allowances, Credits, Exemptions

Exemption:

Annual interest payments of less than 250 euros.

 
Rate(s) Structure

10 %.

 
Tax due date

Monthly (at latest by the 10h day of the following month)

 
Tax collector

Administration of Direct Taxes (Administration des Contributions Directes).

 
Special features

Tax on interest payments is directly withheld by the financial institutions. It is not part of Personal Income Tax.

 
Economic function







Comments
 
Environmental taxes



Comments
 
Tax revenue
ESA95 code d51m (d51ah)

Year
Annual tax revenue (millions)
Currency
Tax revenue as % of GDP
Tax revenue as % of total tax revenue
2012 37.00 EUR 0.09
2011 37.00 EUR 0.09
2010 31.00 EUR 0.08
2009 42.00 EUR 0.12
2008 74.00 EUR 0.20
2007 60.00 EUR 0.16
2006 36.00 EUR 0.11

Comments