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Le Monde 's recent 'OpenLux' revelations (https://www.lemonde.fr/openlux/) show that Luxembourg fails to act fairly within the European Union by offering low tax rates to corporates -- underscoring the flaw of [...]

Luxembourg has been a desirable destination for Islamic financing. However, murabaha structures which assist the Islamic investor in financing the acquisition of an asset, such as real estate, have not been as prevalent in Luxembourg due to uncertainty regarding their tax treatment. Insights on two circulars that partially explain the applicable tax treatment are also given.

A look at steps taken by Luxembourg to prove its commitment to Organization for Economic Co-operation and Development standards is presented. The Luxembourg Parliament has ratified the concluded tax treaties and additional protocols to existing treaties. It also define the framework for implementing the exchange of information under these agreements.

How various jurisdictions offer favorable tax regimes for high net worth individuals (HNWIs) is discuss. HNWIs consider relocation to a more pleasant tax environment when considering opportunities to minimize the tax burden. Belgium, United Kingdom and Switzerland have appeared to be more advantageous from a tax viewpoint than in Luxembourg and Spain.

The tax treatment of corporate debt waivers in Luxembourg and the consequences for companies and their shareholders are discussed. The corporate debt waivers are a common feature of financial reorganizations and have risen amid the current recession. Insights on tax planning strategies designed to lessen the related tax risks are also given.

A technical guide to clear the concept behind the application of isolating approach in Luxembourg is presented. The approach is designed to close the existing loopholes in the taxation of certain types of income attained by non-residents. This ensures that income attained by persons as part of private property and the income realized by businesses as part of business property are on equal footing.

A comprehensive technical analysis of tax loss utilization by Luxembourg companies is presented. The rules related to corporate tax losses, limitations linked to a change of shareholders, and tax treatment in special cases are examined. Insights on the strategies utilized by tax managers are also discussed.

The European Commission ordered Luxembourg to collect [euro]250m ($300m), plus interest, in back taxes from Amazon, the latest broadside from the regulator that penalises sweetheart tax deals between EU countries [...]

The tax consequences of thin capitalization rules, under corporate income tax law of Luxembourg, are presented.

The latest updates on different tax related cases in France, Italy, Luxembourg and Netherlands are thoroughly analyzed.

The European Commission (EC) is committed to reporting the first results in its ongoing investigation into the legality of Amazon and Luxembourg's tax arrangements in the next quarter, after the [...]

Luxembourg is recognized as an attractive location for establishing holding companies due to its legal, political and financial stability. The latest tax developments in Luxembourg introduced major changes to the participation exemption, as well as other tax regimes, which should enable Luxembourg to enhance its position as one of the leading countries for hosting holding companies of multinational groups.

Issues concerning the operations of US business in the four European countries identified by the Organization for Economic Cooperation and Development as having tax regimes that were potentially "harmful" are examined. Topics include a brief summary of the corporate tax policies of the four countries: Ireland, the Netherlands, Luxembourg, and Switzerland; the trade balance of the US with the countries; and the proportion of US investments in the four countries compared to US investments in all of Europe.

The impact of the European Convention on Human Rights (ECHR) on the Luxembourg tax system is important, as a decision by the European Court of Human Rights on article 6 (1) led to a complete reform of the Luxembourg tax courts. Luxembourg adopted the ECHR by a law in 1953 and all the eleven additional protocols have been adopted and are effective.

Income tax law in Luxembourg does not specifically define the non-resident taxpayer as an individual category. There is no discrimination from a tax viewpoint on the basis of the nationality of the taxpayer.

New legislation on pension funds was introduced in Luxembourg on Jun 8, 1999. This law creates a new type of company, the 'cooperative company organized as a public company limited by shares.' The two forms of regulated pension fund are the 'pension-savings company with variable capital' and the 'pension-savings association,' a pension fund incorporated in the form of an association. Both types of pension fund may pay benefits in the form of a capital within the framework of a defined contribution pension scheme.

The tax-dodgers are being scrutinised too The good deeds of the Luxembourg leakers do not go unpunished JUNE 29th was judgment day in a case that has changed the face [...]

Luxembourg company law permits companies to buy back their shares providing certain requirements are met. One requirement is that the redemption should not cause the company's net assets to fall below its subscribed share capital. Companies undertaking redemption should plan carefully to minimize tax consequences. Tax law treats a purchase of all the shares held by one body as a partial liquidation. There will be no withholding tax charge and capital gains tax liability will be minimal or subject to exemption in this case. Tax treatment also varies according to whether or not the shareholder is an individual.

Legislators in Luxembourg have passed laws introducing the concept of the fiduciary to deal with the ownership and disposal of assets. The new laws. limited to banking and institutional administration, provide modernization for asset management and credit for foundations and non-profit organizations. New taxation laws have not been introduced to specifically deal with fiduciary or mise en pension relationships.

Luxembourg's tax treatment of non-residents is expected to change in the light of the European Court of Justice's ruling in the Schumacker case. However, the Schumacker case was a single decision which concerned the availability of tax reliefs based on family circumstances and marital status, and does not necessarily apply to other tax reliefs. Luxembourg treats residents and non-residents differently in areas including tax collection procedures; the availability of some tax reliefs; and the applicable tax rate.

The Luxembourg Administrative Court of Second Instance has confirmed the decision of the Court of First Instance which overruled current administrative practice regarding the treatment of corporate tax losses upon a change of shareholders. The decision clarifies the case law position on tax-loss carry forwards. Insights on the implications for Luxembourg companies are also given.

Luxembourg has made changes to its tax law, including withholding tax exemption for outbound dividends made to parent companies in other states or countries with which Luxembourg has a tax treaty and 80% exemption on taxpayers' income coming from the right to use intellectual property rights. Changes on capital duty are discussed.

An overview of the judgment of Administrative Court of First Instance on double taxation for foreign corporations, in Luxembourg, is presented.

A little country with more to its repertoire than tax breaks LUXEMBOURG'S financial elite gathered recently for the grand opening of its free port, which will soon house troves of [...]