Further to the voting of the solidarity package “Solidaritéitspak 2.0”, Luxembourg has decided to lower the VAT rates applicable in the Country.
As a result, the normal value added tax rate is reduced from 17% to 16%, the intermediate rate is lowered from 14% to 13% and the reduced rate from 8% to 7%.
Do you have expenses in Luxembourg linked to your activity?
If you are a business established outside of Luxembourg, you are entitled to claim a refund of the Luxembourg VAT you paid on purchases in the Country, according to the 8th or 13th Directive, depending on where your company is established. As a EU company, you can claim your VAT back starting from 50 € of VAT in a year, if you are a non-EU business, the minimum VAT to claim back is 250 €.
Contact us to get a full analysis of your VAT refund possibilities in Luxembourg.