| GENERAL INFORMATION |
| |
| Location | Western Europe |
| Population | 450,000 |
| Native language | French, German, Luxembourgish |
| Currency | Euro (ˆ) |
| Political status | Independent sovereign state |
| Constitution & Political status/stability | Constitutional monarchy - member of EU and Benelux |
| Banking & professional facilities | Sophisticated banking facilities, stock exchange, all major accounting firms represented |
| Legal system | Civil law system |
| Offshore specialities/expertise | Private banking, investment funds (DOTS) SOPARFIs and holding companies, network of tax treaties |
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| TAX REGULATIONS |
| |
| Income tax |
|
 resident |
|
| non-resident | up to 40% |
| Trusts |
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| resident | N/A |
| non-resident | N/A |
| Corporate tax |
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| resident | up to 30.38% (incl. local taxes for 1997) (Holding 29 - 0%) |
| non-resident | as for resident |
| exempt | N/A |
| Estate duty | Yes up to a maximum of 0.5% |
| Withholding taxes | Yes.
Interest - 0% dividends - 20% withholding taxes on dividends reduced
under tax treaties and the EC Parent/Subsidiary Directive. Royalties -
10% |
| Exchange controls |
|
| resident | No |
| non-resident | No |
|
| TRUSTS |
| |
| Are trusts permitted? | No. Civil law system. |
| Perpetuity period |
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| Accumulation period |
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| Statutory trust law |
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| Trust duty |
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| Forced heirship exclusion |
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| Asset protection measures |
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| Trust register |
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| Resident trustee/s required |
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| Regulation of trustees |
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|
| CORPORATION LAW FACTORS |
| |
| Type of corporate vehicles | Societe
Anonyme / S.A. / (a public limited comapny), Societe a responsabilite
limitee / SARL / (a private limited company). Less commonly used:
Societe en nom collectif (general partnership), Societe en commandite
simple ( a limited partnership), Societe en commandite par action
(partnership limited by shares) Incorporation time scale 1 to 4 weeks |
| Fees: Incorporation - Government | 1 % capital duty |
| Other | notarial fees from approx ˆ250 |
Annual -
Government | 0.2% subscription tax for 1929 Holding Companies, Corporate income tax for SOPARFIs |
| Other |
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| Resident directors required | No |
| Min number of directors required | 3 (one for SARL) |
| Directors meetings required | No, other than for good corporate governance |
| Other requirements |
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| Beneficial ownership disclosure | No |
| Shareholder disclosure | No |
| Minimum number of shareholders | 2 |
| Bearer shares allowed | Yes for SA only |
| No-par value shares allowed | No |
| Public share register | Yes |
| Shareholders meetings required | Yes |
| Frequency | Annual General meeting |
| Place | Luxembourg |
| Annual return required | Yes |
| Audit required | Yes |
| Foreign currency accounting allowed | Yes |
| Registered office | Yes |
| Registered agent | No |
| Stamp/capital duty | Yes. 1 % on subscription for capital |
| Naming your company | Company name must include suffix SA or SARL |
| Company mobility provisions/redomicility rules | No |
