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ARTICLE · 28 FEBRUARY 2025

2025 Tax Playbook: 10 Key Changes You Need To Know

Loyens & Loeff
Loyens & Loeff
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Loyens & Loeff

Loyens & Loeff

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2025 is off to a flying start. Stay ahead with this top 10 list of essential Luxembourg tax reforms.

LuxembourgTax

2025 is off to a flying start. Stay ahead with this top 10 list of essential Luxembourg tax reforms.

Luxembourg's tax landscape is undergoing significant changes in 2025, with reforms affecting individuals and businesses alike. Whether you're an entrepreneur, employee, or investor, these 10 updates are key to shaping your fiscal strategy. Stay informed to make the most of the year ahead.

  1. Corporate Income Tax Rate Cut
    As of the fiscal year 2025, Luxembourg's corporate income tax rate drops from 17% to 16%. The combined corporate income tax rate for corporate taxpayers in Luxembourg City consequently falls from 24.94% to 23.87%, offering savings for companies expanding or operating in the Grand Duchy. Please note however that the rate might differ from municipality to municipality depending on the municipal business tax rate applicable.

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The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

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