Fact File

Fact File Supplied By

CMS Luxembourg.

Location

Central Europe.

Time Zone

Greenwich Mean Time +1.

Population

630,000.

Capital

Luxembourg.

Airport(s)

One.

Language

Luxembourgish, French, German.

Currency

Euro.

Political System

Constitutional Monarchy under a system of Parliamentary Democracy.

International dialing code

+352.

Legal system

Civil (Roman) law.

Centre's expertise

Financial.

Personal income tax

Progressive rates ranging from 0% to 42% which is increased by a solidarity surcharge (7% or 9% depending on the taxpayer’s situation).

Corporate income tax

Progressive rates ranging from 0% to 42% which is increased by a solidarity surcharge (7% or 9% depending on the taxpayer’s situation).

Exchange restrictions

No.

Permitted currencies

Any convertible currency.

Minimum authorised capital

EUR 12,000 (SARL) or EUR 30,000 (SA).

Minimum share issue

25% of capital for an SA. 100% of capital for an SARL.

Shelf companies

No.

Timescale for new entities

Two days (subject to the opening of a bank account).

Incorporation fees

€4,000- €5,000 (notary fees may vary depending on the share capital amount).

Annual fees

€10,000 (depending on the type of company, type of activities carried out and the service providers hired by the company).

Minimum number

One (Three for an SA with more than one shareholder).

Residency requirements

No. It is advisable to have a majority of Luxembourg resident directors for tax substance but it is not a statutory requirement under company law.

Corporate directors

Yes.

Meetings/frequency

No frequency imposed by law. Meetings each time the company’s interest so requires.

Disclosure

SA: no. SARL: yes. Nominee possible.

Bearer shares

SA: yes (only with a depositary). SARL: no.

Minimum number

One.

Public share registry

No.

Meetings/frequency

Yes/at least once a year.

Annual return

Mandatory annual filing.

Audit requirements

SA requires a commissaire; SARL requires a commissaire when the number of shareholders exceeds 60. Appointment of an independent statutory auditor (réviseur d’entreprises agréé) if two of the following conditions are exceeded: average number of employees of 50; balance sheet total of €4,400,000; net turnover of €8,800,000. SA and SARL do not require a commissaire if a réviseur d’entreprises agréé is appointed.

Registered office

Luxembourg.

Domicile issues

No.

Company naming restrictions

Different from existing ones.