Luxembourg VAT – The Rates & Registration

If your company is not established in Luxembourg and is providing ‘taxable supplies’ of goods or services in Luxembourg, it might have to attain a non-resident VAT registration. This follows the EU VAT Directive, foreign traders are legally obliged to register for VAT in certain situations, in order to report taxable transactions and declare the VAT that needs be charged.

It is imperative that all businesses with any commercial actions in Luxembourg evaluate their compliance responsibilities and register before beginning any taxable transactions, if applicable.

There are numerous circumstances in Luxembourg that can generate the responsibility to register for VAT. Below are some of the most common cases:

• Goods being imported into Luxembourg from outside the EU;
• Goods being bought or sold in Luxembourg;
• Selling goods from Luxembourg that are delivered to customers out with Luxembourg (this applies to business or private customers);
• Obtaining goods in Luxembourg from another country within the EU (Intra-community acquisitions);
• Inventory of stock in Luxembourg for sale, circulation or delivery;
• eCommerce sales of goods to customers, subject to Distance Selling VAT registration thresholds;
• Arranging events in Luxembourg, if attendees or delegates pay admission.

If you are presently, or planning to conduct any of the above (or similar) transactions in Luxembourg, you should contact amavat^® immediately to allow us to help you be VAT compliant.

*amavat^® accept no responsibility for the above figures being 100% accurate, at all times. They will periodically updated - last update 08.02.2024.

‘VAT Return’ Periods
Monthly, quarterly or annually subject to turnover

‘Annual Returns’
Yes

‘EC Sales Lists’ frequency
Monthly or quarterly

‘EC Purchase Lists’
No

Additional reporting requirements
No

‘Extended Reverse Charge’
The extended reverse charge has restricted application in Luxembourg. Please contact amavat^® if you would like further information of how the extended reverse charge applies in Luxembourg.

‘Fiscal Representation’
Not required. A business established in a country out with the EU might be necessary to make available a security deposit to secure its VAT obligation.