{"id":12959,"date":"2026-09-08T18:21:24","date_gmt":"2026-09-08T16:21:24","guid":{"rendered":"https:\/\/consultoriaehero.com\/?p=12959"},"modified":"2026-09-08T18:27:25","modified_gmt":"2026-09-08T16:27:25","slug":"vat-in-luxembourg","status":"publish","type":"post","link":"https:\/\/consultoriaehero.com\/en\/vat-in-luxembourg\/","title":{"rendered":"VAT in Luxembourg in 2026"},"content":{"rendered":"

Luxembourg has the lowest standard VAT rate in the entire European Union: 17%<\/strong>. And below that, three more bands: an intermediate rate of 14%<\/strong>, a reduced rate of 8%<\/strong>, and a super-reduced rate of 3%<\/strong>. Four rates, just like France, but starting four points lower than Spain.<\/p>\n

\n\n\n\n\n\n\n\n\n
Type<\/th>\nPercentage<\/th>\nApplies to<\/th>\n<\/tr>\n<\/thead>\n
Standard (taux normal)<\/span><\/td>\n17 %<\/strong><\/td>\nDefault regime for goods and services<\/td>\n<\/tr>\n
Intermediate (taux interm\u00e9diaire)<\/span><\/td>\n14 %<\/strong><\/td>\nGoods and services in Annex C of the 1979 VAT law<\/td>\n<\/tr>\n
Reduced (taux r\u00e9duit)<\/span><\/td>\n8 %<\/strong><\/td>\nGoods and services in Annex A of the 1979 VAT law<\/td>\n<\/tr>\n
Super-reduced (taux super-r\u00e9duit)<\/span><\/td>\n3 %<\/strong><\/td>\nGoods and services in Annex B of the 1979 VAT law<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/figure>\n

Rates verified on 8 September 2026 against the \u201cTaux nationaux applicables\u201d sheet on Luxembourg\u2019s indirect tax portal (pfi.public.lu<\/a>).<\/em><\/p>\n

The EU\u2019s lowest rate, and why that is not an advantage for you<\/h2>\n

It is easy to read 17% as an opportunity. It is not: since the one-stop shop exists, VAT is set by the buyer\u2019s country, not the seller\u2019s<\/strong>. Selling to Luxembourg at 17% does not make you cheaper, because your local competitors apply exactly the same rate.<\/p>\n

Where 17% does matter is the other way around: if you buy services from a Luxembourg supplier \u2014and many digital services have their European headquarters there\u2014 the VAT shown on that invoice is theirs, not the Spanish one, and in an intra-EU business-to-business transaction it should not even appear.<\/p>\n

A warning if you use old tables: in 2023 Luxembourg applied a temporary one-point reduction to three of its four rates. That reduction is no longer in force<\/strong>; the current rates are those in this table. It is an error that still circulates in outdated comparisons.<\/p>\n

Which VAT you need to apply when selling from Spain<\/h2>\n

This is the part that does not appear in any table and is usually the real question. The rate you charge does not depend only on Luxembourg, but on how much you sell outside Spain:<\/p>\n