Luxembourg offers several fund vehicles such as SICAV, FCP, SIF, RAIF, and SCSp, each with distinct legal and tax characteristics.
Most regulated funds are exempt from corporate income tax but subject to a subscription tax (taxe d’abonnement) of 0.05% per annum (often reduced or exempted depending on the fund’s strategy and investors).

The subscription tax is a periodic tax applied to the net asset value (NAV) of Luxembourg investment funds.
It is generally 0.05%, reduced to 0.01% for institutional money market or pension funds, and 0% for certain asset classes (e.g., microfinance, sustainable investments).
It is declared and paid quarterly to the Luxembourg tax authorities.

In most cases, regulated investment funds (SICAV, SIF, RAIF, etc.) are fully exempt from income tax, capital gains tax, and municipal tax.
However, unregulated vehicles (such as SOPARFIs or certain partnerships) may be taxable depending on their structure, activities, and investors.

Funds and their management entities must comply with several ongoing reporting requirements, including:

• FATCA and CRS automatic exchange of financial information;

• Investor tax reporting (for investors in Germany, Austria, UK, etc.);

• DAC6 / DAC7 / DAC8 disclosures of cross-border arrangements and transactions;

• VAT and subscription tax filings;

• AML/TAX reporting and compliance under CSSF supervision.

Luxembourg does not impose withholding tax on dividends or interest distributed by investment funds.
However, foreign-source income may suffer withholding taxes abroad.
In such cases, our team assists with treaty-based reclaim procedures to reduce or recover those taxes.

The Commission de Surveillance du Secteur Financier (CSSF) is Luxembourg’s financial regulator.
While it does not levy taxes, it ensures that funds and management companies maintain proper governance, substance, AML/KYC procedures, and tax transparency.
We help clients implement CSSF-compliant AML/TAX policies and prepare for regulatory reviews or audits.

We provide end-to-end tax advisory services for investment funds and related structures:

• Fund and SOPARFI structuring

• Tax and VAT declarations

• FATCA/CRS and investor reporting

• DAC6–DAC8 compliance

• CSSF audit assistance and AML implementation

• Tax planning and optimization strategies

Our mission is to make tax compliance clear, efficient, and value-driven, ensuring that your Luxembourg structures remain fully compliant while maximizing fiscal efficiency.