With the introduction of a temporary tax amnesty regime in 2016,
taxpayers have been given the possibility to file corrective tax
returns by 31 December this year. Part of the Law of 23 December
2016's fight against tax fraud and money laundering, this
regime represents an opportunity to report previously undeclared
income without certain sanctions. The remaining three months are
the last call for concerned taxpayers to report undeclared income
(and related assets) that have not been previously disclosed to the
Luxembourg tax authorities.
Why should I file?
As part of the tax reform 2017 package, the legislator has
reinforced the fight against tax fraud and money laundering. Going
forward, so-called "aggravated" and "serious"
tax frauds will constitute predicate offenses of money laundering.
Therefore, Luxembourg banks will be obliged to review their entire
client population in light of fraud risk. Where banks have
reasonable suspicion that failure to declare
