Frequently asked questions

The questions we are actually asked, companies and individuals.

We take between one and seven calls a day. More than 400 engagements since 2017. These are the real questions, grouped by profile, with our answers. Field data, not generic content.

Companies and entrepreneurs

Formation and structure

Can I set up a company in Luxembourg without being a resident?

Residence is not required to be a shareholder. Depending on the activity, a business permit and a director with genuine substance in Luxembourg may however be necessary. Company formation

Do I need to travel to Luxembourg to set up my company?

Not necessarily. Most of it is handled remotely: KYC, documents, power of attorney. The notarial signature can be arranged by proxy depending on the structure. Company formation

Can a company be formed in five days?

That is realistic for a simple structure once KYC is complete. The limiting factor is rarely registration, it is the bank file and the business permit. Actual timelines

SARL, SARL-S or SA: which should I choose?

SARL with EUR 12,000 capital, SARL-S from EUR 1 for individuals, SA at EUR 30,000. The choice depends on capital, shareholding and intended positioning. Company forms

Can a foreign company establish through a branch or a subsidiary?

Both routes exist, with different substance, VAT and accounting implications. We choose according to your objective. Establishment options

Can I buy a vehicle in my company's name?

Yes, under conditions. Deductibility, VAT treatment and benefit in kind depend on business use. We frame the arrangement before purchase. Accounting and advice

What is a SOPARFI and when should it be used?

The financial participation company is the standard vehicle for holding shareholdings, with participation exemption under conditions. Holdings and SOPARFI

Accounting and tools

Can you take over overdue accounting?

Yes. Entry review, identification of anomalies, regularisation, with no break in reporting obligations. Accounting

Who can file my annual accounts with the RCS?

A licensed accountant, via eCDF. We prepare and file on your behalf. Annual accounts

When must I file my accounts?

Approval by the general meeting within six months of year-end, then filing with the RCS within one month of approval. Filing deadlines

Do you work with Odoo?

Yes. Configuration, Lux GAAP chart of accounts, automation of the accounting flow and team training. Accounting and Odoo

Tax and VAT

I received an AED letter requesting a tax instalment. What should I do?

The instalment is an advance on estimated tax. It can be adjusted or contested based on your forecast result. We review the letter and reply to the administration. Corporate tax

What are the corporate tax rates?

Corporate income tax, the solidarity surcharge and municipal business tax combine. The aggregate rate depends on the municipality and the level of profit. Corporate tax

How do I obtain a VAT number?

Registration according to thresholds and activity. We handle the application, configuration and returns. VAT registration

How does intra-Community VAT work?

A specific regime with reverse charge and VIES checks. We configure your flows and file the returns. Intra-Community VAT

What is the participation exemption?

An exemption of dividends and capital gains under the holding conditions set out in article 166 LIR. Participation exemption

Payroll, governance and liquidation

I am a manager. Must I register with the CCSS?

In principle yes: a manager carrying out an activity falls under social security, with a status varying by shareholding and remuneration. Payroll and CCSS

Can you run payroll for my employees?

Yes: payslips, CCSS affiliations, withholding tax, indexation. For employees, self-employed people and managers. Payroll outsourcing

What is ATAD substance and why does it matter?

It is the company's economic reality in Luxembourg. It can contribute to establishing tax residence, without on its own determining it. ATAD substance

Do you provide a resident independent director?

Yes, within the permitted framework, with board meetings genuinely held locally and a documented substance file. Directorship

How do I liquidate my company?

Dissolution, appointment of a liquidator, settlement of liabilities, tax clearance, striking-off at the RCS. We run the whole process. Liquidation

Individuals and self-employed

Income tax return

Do you prepare personal income tax returns?

Yes, for residents and cross-border workers alike: tax classes, deductible expenses, foreign income, deadlines. Personal return

I am a cross-border worker, how does my return work?

Tax classes, income from both countries, double-taxation treaties. We optimise within the legal framework. Cross-border workers

Which expenses can I deduct?

Professional expenses, loan interest, certain insurance premiums and contributions, depending on your situation. Deductible expenses

I have foreign income. How do I declare it?

Under the applicable treaties, with exemption or tax credit. We integrate it correctly into your return. Foreign income

I received a letter from the ACD. What should I do?

We review the letter, prepare the reply and liaise with the administration on your behalf. ACD assistance

Self-employed and international

How do I establish myself as self-employed?

Business permit where required, social affiliation, VAT and accounting. We frame each step. Business permit

Must I charge VAT as a self-employed person?

It depends on the exemption threshold and your activity. We determine your regime. Self-employed VAT

Do you handle accounting for self-employed people?

Yes: bookkeeping, VAT, income tax return and CCSS follow-up, with advice included. Self-employed accountant

Can I set up or invest from abroad, outside the European Union?

Yes. We work with clients from Europe, China, the United States, Switzerland, the United Kingdom and elsewhere, in nine languages. International clients

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General information only, not individual legal or tax advice. Questions representative of enquiries actually received, anonymised.