ARTICLE · 28 JULY 2015

Luxembourg - Corporate Tax Proposals

KPMG Luxembourg

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The government's council on 10 July 2015 approved a bill of tax proposals that would affect most multinational groups having subsidiaries in Luxembourg.

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July 14: The government's council on 10 July 2015 approved a bill of tax proposals that would affect most multinational groups having subsidiaries in Luxembourg.

Text of the bill is not yet available, but according to a press release from the government, among the measures included in the bill are the following:

Provisions to transpose into Luxembourg law two amendments to the EU Parent-Subsidiary Directive—i.e., the anti-hybrid rules and the general anti-abuse rules.
Changes to the tax consolidation regime to allow eligible sister companies to form a tax unity group (so-called "horizontal" tax unity)
Expanded scope of the investment tax credit (bonification d'impôt pour investissement) to allow the credit with respect to leases of ships used in international commerce

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