Clifford Chance
Beneficial tax regime for Qualified Impatriates
2 April 2014
The Luxembourg tax authorities have issued their first circular n°95/2 on 31 December 2010. This circular has been consecutively replaced by two circulars, one dated 21 May 2013 and a last one issued on 27 January 2014. The circular details the tax treatment of allowances granted to qualified expatriates (called impatriates in the circular) seconded to Luxembourg or directly recruited from abroad or hired by a foreign company located in the European Economic Area. Offering significant benefits and decreasing the cost of employment, this special tax regime will contribute to making Luxembourg an attractive place to work for qualified international employees.
