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Luxembourg Company Formation

Stable jurisdiction and great reputation.
Time of Luxembourg company formation takes 1 WEEKS.
Personal presence is not required.
Company type:
- Luxembourg LLC or Limited Liability Company (“Société à Responsabilité Limitée” (SARL)

Tax Rates in Luxembourg

Corporation Tax in Luxembourg: Businesses with taxable income lower than 175,000 euros (EUR) are subject to CIT at a rate of 15%. Businesses with taxable income between EUR 175,000 and EUR 200,001 are subject to CIT computed as follows: EUR 26,250 plus 31% of the tax base above EUR 175,000.

Luxembourg taxes its corporate residents on their worldwide income and non-residents only on Luxembourg-source income.

Income Tax in Luxembourg: 43.6% (40% income tax + 9% solidarity surcharge calculated on the income tax)

VAT Tax in Luxembourg: 17% (Reduced rates 3%, 8%, 14%)

About Luxembourg

Country: Luxembourg

Capital: Luxembourg

Continent: Europe

Language: German, French

Currency: Euro (EUR)

Time Zones: GMT +1

Dial Code: +352

Abbreviations: LU

What we can do for your Company in Luxembourg

We do all paperwork on forming the company in Luxembourg
Formation is completely remote
Can act as Secretary or Treasury
Provide nominee Directors/Shareholders
Assist with opening a bank account
Registration for Taxes, VAT & EORI
Develop a website for your business
Create a logo of your brand

Provide with full company administration services
Arrange a mailing address for your business
Arrange a virtual office for your company
Telephone answering service
Book keeping, audit & reporting
Preparing and submitting VAT return
Dealing with local authority
Trademark registration

Formation/Incorporation/Setting up of a Luxembourg LLC or Limited Liability Company

Main Characteristics and the basic rules of Company registration in Luxembourg

Luxembourg - Introduction

Taking your existing business to a foreign country is a great idea but selecting the right destination is something you need to do first! If expanding business in the prime locations in Europe is on agenda, Luxemburg is a good choice. Located literally at center of Europe and benefitted by factors like multilingual, skilled workforce, Luxemburg is ideal for many expanding businesses- belonging to various niches. The political stability also works for business expansion needs. If you are thinking of business expansion to this country, our Luxembourg Company Formation Services can be handy.

When you think of starting a business in new country or expand an existing venture overseas, the formalities of starting operations is something you have to analyze. In this regard, Luxemburg is ahead of many bigger and popular European countries! The process of company formation here is way more straightforward in the country and you may not have to wait even for two weeks.

The economic policies of the government of Luxemburg are also suitable for business owners planning of company formation or venture expansion. The govt of this country encourages entrepreneurs for innovation and investments in specific niches including media, logistics, health technologies etc. In fact, for small and midsized companies getting financial support may not be tedious in Luxemburg. Long term loans are available and the capital grants from the govt are offered to businesses. While all these seem quite lucrative, you may still gain by seeking our Luxembourg Company Formation Services.

The availability of skilled labor is not going to be a problem when you choose Luxemburg for venture expansion. The majority of population is well educated and finding English speaking employees will not be tough.

For any entrepreneur expanding business abroad, analysis of tax environment becomes a prerequisite. The good thing is that you will not have to pay a huge amount in corporate income tax for starting operations in Luxemburg. The country has a reasonable corporate income tax rate of 12%. The standard VAT rate hovers at 15%. Luxembourg has some of the top data centers- ideal when your business relies on robust cloud services. The Luxembourg Tax Authorities announced special tax exemptions for expats and you may be eligible for that.

Despite all advantages of setting up business in Luxemburg, expert assistance may be required. For all Luxembourg Company Formation assistance, BRIS group is your best partner. Call us today for more information.

Financial Advantages

Luxembourg Company Formation	Financial Advantages
Taxation:	15 % where the taxable income does not exceed EUR 175,000; 17 % where the taxable income exceeds EUR 200,000. Businesses with taxable income lower than 175,000 euros (EUR) are subject to CIT at a rate of 15%. Businesses with taxable income between EUR 175,000 and EUR 200,001 are subject to CIT computed as follows: EUR 26,250 plus 31% of the tax base above EUR 175,000.
Double Taxation Treaty Access:	Yes Treaty Access with many countries
Luxembourg Tax Information Exchange Agreements:	Yes, Luxembourg signs Exchange Agreements
Account Filing Requirements:	Yes accounting / reporting requirements
Annual Return Filing Requirements:	No annual return/ reporting requirements
Audit Requirements:	A statutory auditor’s supervision is required for SARL’s having two consecutive years meeting two out of three following criteria: net turnover of 8.8 million Euro; balance sheet total of 4.4 million Euros; average staff of at least 50.

Registration Requirements

Luxembourg Company Formation	Registration Requirements
Share Capital:	The minimum authorized capital is 12,500 Euro
Classes of Share Available for Luxembourg company formation:	Only registered shares of a minimum value of 24.79 Euros are allowed.
Bearer Shares:	Luxembourg Public limited liability companies (SA) and corporate partnerships limited by shares can issue bearer shares. There are strict regulations regarding holding and keeping bearer shares. As a result of these regulations, bearer shares must be held by a professional depositary a bank or financial institution (professionals in the financial sector); a notary; a lawyer; a Luxembourg Certified Public Accountant (CPA).
Registered Office Required:	Yes required and must be maintained in Luxembourg
Shareholders:	Minimum number is one (two for holding company)
Directors:	Minimum number is one. (three for Holding company) Can be any nationality and need not be resident in Luxembourg (but advisable). Corporate directors are allowed.
Your Company language:	English
Name of your Company must be ended:	“Société à Responsabilité Limitée” or“SARL”
Documents required for Luxembourg company formation:	A certified copy of your passport or ID and proof of your residential address dated less than 3 months.

Restrictions

Luxembourg Company Formation	Restrictions
For Luxembourg company formation you cannot use words in your company names without justification:	“Bank”, “Trustee Company”, “Assurance”, “Building Society”, ”Trust Company”, “Royal” etc.
Restrictions on Trading:	None
Not permitted without a licence:	Fund management, insurance, Banking, reinsurance, assurance, trust management, collective investment schemes, trusteeship business provision.

Confidentiality and Security

Luxembourg Company Formation	Confidentiality and Security
Publicly Accessible Records:	The only document filed to register a SARL is a Memorandum of Association which does not contain the names of partners (shareholders).
Nominee Shareholders and Nominee Directors:	Yes, Allowed
Disclosure of Beneficial Ownership to Authorities:	No
Meetings of Directors and Shareholders to be held:	Anywhere
Stability:	Stable jurisdiction and great reputation.

About Luxembourg

About Luxembourg
Capital city:	Luxembourg
Region:	European country, surrounded by Belgium, France and Germany
Political System:	Democracy
Government:	Constitutional Monarchy
Governing corporate legislation:	1990 Société de Participation Financiére (SOPARFI) Holding Company (SA)
Type of Law:	Civil
Currency:	Euro (EUR)
Exchange Control:	None
Language of Legislation and Corporate Documents:	German, French
Time zone:	GMT+1

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This publication is provided for information purposes only. This info should not be treated as a substitute for a tax or legal consultation or legislation. You should not act on the basis of the information contained in this publication without having obtained individual advice from the professional expert.

BRIS GROUP does not assume responsibility for any damage resulting from decisions made by the reader on the basis of this publication.

Our team of consultants are here to take you through the process.

We provide a wide range of offshore companies formation, administration and fiduciary services for internal and external clients worldwide. We help to maintain an offshore company in accordance with the regulations, laws and tax authorities of the foreign state in which it is registered for non-resident clients.