{"id":12959,"date":"2026-09-08T18:21:24","date_gmt":"2026-09-08T16:21:24","guid":{"rendered":"https:\/\/consultoriaehero.com\/?p=12959"},"modified":"2026-09-29T23:56:22","modified_gmt":"2026-09-29T21:56:22","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 That reduction is no longer in force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 It is an error that still circulates in outdated comparisons.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 charge customers in Luxembourg if you sell from another EU country<\/h2>\n

<\/p>\n

This is the part no rate table covers, and usually the real question. The rate you charge does not depend only on the destination: it depends on how much you sell to consumers in other EU countries.<\/p>\n