Type of Intervention: Executive Order, Financial and Economic
Sectors Involved: Finance/Economy, Private Sector and Businesses
Level of Jurisdiction: National
Lead People/Agency: Ministry of Finance
Overview: The Ministry of Finance announced new payment deadlines for direct taxes. Legal entities and individuals carrying out activities that generate a commercial profit, an agricultural and forestry profit, or a profit from the exercise of a liberal profession in Luxembourg, and who are experiencing liquidity problems due to the COVID-19 outbreak, may request the cancellation of tax prepayments for the first two quarters of 2020. This measure applies only to tax prepayments for income tax and municipal business tax; it does not apply to net wealth taxes or wage tax withholding. Also, a taxpayer may request a reduction in the amount of tax prepayments for the first two quarters of 2020 instead of a cancellation. In addition, legal entities and individuals may apply for a four-month extension for payment of income tax, municipal business tax, and/or net wealth tax without being charged late payment interest.
Full details here: https://mfin.gouvernement.lu/en/actualites.gouvernement%2Ben%2Bactualites%2Btoutes_actualites%2Bcommuniques%2B2020%2B03-mars%2B17-mesures-fiscales-covid19.html
Type of Justification: No justification given