Luxembourg Holding Companies Domestic and International Tax Aspects

All you need to know about holding companies.

In a global economy, international holding structures have become vital for investors to meet the everchanging economic challenges and to survive on competitive international markets. In many international groups, for private equity firms and for many high-net-worth individuals, holding companies are at the cornerstone of the business and tax management of their investments.

Luxembourg is a major holding location used by multinationals and international investors for structuring their investments. Luxembourg holding structures have been used successfully by thousands of investors for decades. Yet, the fiscal legislation applying to them is in constant evolution, both from a Luxembourg and an international tax standpoint, and the efficient use of Luxembourg holding companies has nowadays become full of difficulties and pitfalls.