Welcome to Luxembourg! As a foreign individual, whether you're a digital nomad, expat, or location-independent worker, obtaining tax residency here is a straightforward process. This guide will walk you through the necessary steps to establish your tax residency in Luxembourg.
Step 1: Establish Physical Presence
To begin, you must establish a physical presence in Luxembourg. This generally means residing in Luxembourg for more than six months (183 days) during a calendar year. Keep records of your travel and stays to substantiate your physical presence.
Step 2: Secure Accommodation
You need a fixed place of residence in Luxembourg, such as a rental property or owned home. A lease agreement or property deed will serve as proof of your accommodation. Ensure your name is on the lease or deed.
Step 3: Register with the Local Commune
Register your residence with the local commune (municipal office) where you live. You will need to provide identification, proof of address, and possibly other documentation as required by the local authorities. Upon registration, you will receive a registration certificate (certificat de résidence).
Step 4: Obtain a Residence Permit (if applicable)
If you are a non-EU/EEA/Swiss national, you will need to apply for a residence permit. This involves submitting an application to the Immigration Directorate of the Ministry of Foreign and European Affairs, including proof of employment or sufficient financial means, health insurance, and a clean criminal record. EU/EEA/Swiss nationals do not require a residence permit but must still register with the commune.
Step 5: Notify Tax Authorities
Inform the Luxembourg tax authorities (Administration des contributions directes) of your new residence status. Complete and submit the necessary forms to declare your residency. This will include providing your registration certificate and possibly other documentation.
Step 6: Fulfill Tax Obligations
Once you are recognized as a tax resident, you are required to comply with Luxembourg's tax obligations. This includes filing annual tax returns and paying any taxes due. Ensure you maintain proper records of your income and expenses.
Legal References
- Article 2 of the Luxembourg Income Tax Law (LIR)
- Article 3 of the Law of 29 August 2008 on the Free Movement of Persons and Immigration
- Communal regulations on registration and residence permits
Useful Links
