Luxembourg

Extension of the filing deadlines for certain direct tax returns

On 15 December 2022, the Luxembourg Parliament voted to approve the 2023 Budget. The 2023 Budget Law provides for an extension of the filing deadlines for certain direct tax returns. Corporate income tax (CIT) and municipal business tax returns of a given year should now be filed by 31 December of the following year. For net wealth tax (NWT), the return of a given year should be filed at the latest on 31 December of that year since the return is based on the balance sheet as at 1 January of the tax year.

In practice, the Luxembourg tax authorities typically extended the filing deadline to 31 December without imposing late filing penalties. The Budget Law 2023 simply puts practice onto a statutory footing that will clearly provide more legal certainty to taxpayers.

The new filing deadlines are to be applicable to CIT and municipal business tax returns related to 2022 and to NWT returns for 2023.