VAT registration and returns in Luxembourg: number, rates and compliance.
VAT registration in Luxembourg means obtaining a VAT number from the Registration Duties, Estates and VAT Authority (AED), then filing periodic and annual returns. We handle registration, returns, intra-community VAT and the small-business exemption, aligned with your accounting.
Value-added tax (VAT) is a consumption tax collected by taxable persons on the State's behalf. In Luxembourg it is administered by the Registration Duties, Estates and VAT Authority (AED). Registering for VAT means obtaining a VAT number (and, for EU trade, an intra-community number), charging the tax at the applicable rate, deducting input VAT and filing returns.
Amended law of 12 February 1979 on value-added tax, transposing Directive 2006/112/EC. Administration and registration with the AED. Intra-community trade: intra-community VAT number and recapitulative statement (VIES system).
Key takeaway
- Luxembourg's standard VAT rate is 17% (the lowest in the EU), with reduced rates of 14%, 8% and 3% depending on goods and services.
- Registration is with the AED; an intra-community VAT number is needed for trade within the EU.
- Small businesses can use an exemption scheme below a turnover threshold, charging no VAT.
- Filing frequency (monthly, quarterly or annual) depends on turnover.
Who must register for VAT in Luxembourg?
Any person, individual or legal entity, that independently carries out taxable supplies of goods or services in Luxembourg is in principle a taxable person and must register with the AED. Registration is also required for certain intra-community operations, even below national thresholds.
Small businesses with turnover below a threshold may opt for the exemption scheme and not charge VAT. We determine your situation, the right scheme and the timing of registration.
How to obtain a VAT number?
A VAT number is obtained by filing an initial declaration with the AED, with information on the company and its activity. For trade within the European Union, an intra-community VAT number is allocated, verifiable in the VIES system.
In practice, allow two to four weeks for the number to be issued. We prepare and file the request, and coordinate registration with company formation where relevant.
VAT rates in Luxembourg in 2026
Luxembourg applies the lowest standard rate in the European Union: 17%. Reduced rates apply to certain goods and services: 14% (intermediate), 8% (reduced) and 3% (super-reduced, for example on food, books or certain housing work).
Applying the right rate depends on the precise nature of the good or service and the place of supply. A rate error feeds into your margins and returns: we secure the classification.
VAT returns: frequency and content
Depending on turnover, returns are monthly, quarterly or annual, completed by an annual recapitulative return. Each return offsets output VAT on sales against input VAT on purchases; the balance is paid to the AED or refunded.
We compute VAT from your accounting, file returns on time and track payments and refunds, with no break from your bookkeeping.
Intra-community VAT and reverse charge
Intra-community supplies of goods between taxable persons are in principle exempt on departure and taxed on arrival, with a reverse-charge mechanism. Intra-EU B2B services often fall under the customer's reverse charge. These flows require an intra-community VAT number and a recapitulative statement (VIES), sometimes with an Intrastat declaration.
We handle flow classification, the recapitulative statement and VIES consistency, frequently audited points.
Small-business exemption and right of deduction
Below a turnover threshold, a small business may use the exemption: it charges no VAT but cannot deduct input VAT on its purchases either. Above the threshold, or by option, the business moves to the normal scheme with the right of deduction.
For mixed-activity structures (for example a holding with partial activity), the right of deduction may be partial (pro rata). We calibrate your scheme to optimise VAT cash flow within the rules.
Who this is for
- Companies and self-employed starting a taxable activity in Luxembourg
- Foreign companies carrying out taxable operations in Luxembourg
- E-commerce sellers and intra-EU service providers
- Holdings and mixed-activity structures (partial right of deduction)
What we do
- VAT registration and intra-community number
- Periodic VAT returns and the annual return
- Intra-community recapitulative statements (VIES) and Intrastat
- Right-of-deduction analysis, pro rata and reverse charge
- Small-business exemption and special-scheme handling
Estimated timelines
Pricing indication
Indicative ranges, excluding disbursements and taxes. Firm quote after scoping.
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Preparation checklist
Get the list of documents and steps to start without friction.
The process, step by step
Liability analysis
Nature of operations, place of supply, thresholds and possible option. Determination of the scheme (normal, exemption) and filing frequency.
Registration
Filing the request with the AED, obtaining the VAT number and, where needed, the intra-community number.
Returns
Computing output and input VAT, filing periodic, recapitulative and annual returns.
Monitoring & audit
Reconciliation with accounting, VAT payment or refund, responding to AED requests.
Frequently asked questions
How do I get a VAT number in Luxembourg?
What is the VAT rate in Luxembourg?
Who must register for VAT?
What is an intra-community VAT number?
How often must I file a VAT return?
What is the VAT reverse charge?
Can you recover a VAT credit?
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