Luxembourg Income Tax Rates and Personal Allowances in 2020

The Income tax rates and personal allowances in Luxembourg are updated annually with new tax tables published for Resident and Non-resident taxpayers. The Tax tables below include the tax rates, thresholds and allowances included in the Luxembourg Tax Calculator 2020.

Luxembourg Residents Income Tax Tables in 2020: Income Tax Rates and Thresholds (Annual)
Tax RateTaxable Income Threshold
0%Income from € to €11,265.00
8%Income from €11,265.01 to €13,173.00
9%Income from €13,173.01 to €15,009.00
10%Income from €15,009.01 to €16,881.00
11%Income from €16,881.01 to €18,753.00
12%Income from €18,753.01 to €20,625.00
14%Income from €20,625.01 to €22,569.00
16%Income from €22,569.01 to €24,513.00
18%Income from €24,513.01 to €26,457.00
20%Income from €26,457.01 to €28,401.00
22%Income from €28,401.01 to €30,345.00
24%Income from €30,345.01 to €32,289.00
26%Income from €32,289.01 to €34,233.00
28%Income from €34,233.01 to €36,177.00
30%Income from €36,177.01 to €38,121.00
32%Income from €38,121.01 to €40,065.00
34%Income from €40,065.01 to €42,009.00
36%Income from €42,009.01 to €43,953.00
38%Income from €43,953.01 to €45,897.00
39%Income from €45,897.01 to €100,002.00
40%Income from €100,002.01 to €150,000.00
41%Income from €150,000.01 to €200,004.00
42%Income from €200,004.01 and above
Luxembourg Non-Residents Income Tax Tables in 2020: Income Tax Rates and Thresholds (Annual)
Tax RateTaxable Income Threshold
0%Income from € to €11,265.00
8%Income from €11,265.01 to €13,173.00
9%Income from €13,173.01 to €15,009.00
10%Income from €15,009.01 to €16,881.00
11%Income from €16,881.01 to €18,753.00
12%Income from €18,753.01 to €20,625.00
14%Income from €20,625.01 to €22,569.00
16%Income from €22,569.01 to €24,513.00
18%Income from €24,513.01 to €26,457.00
20%Income from €26,457.01 to €28,401.00
22%Income from €28,401.01 to €30,345.00
24%Income from €30,345.01 to €32,289.00
26%Income from €32,289.01 to €34,233.00
28%Income from €34,233.01 to €36,177.00
30%Income from €36,177.01 to €38,121.00
32%Income from €38,121.01 to €40,065.00
34%Income from €40,065.01 to €42,009.00
36%Income from €42,009.01 to €43,953.00
38%Income from €43,953.01 to €45,897.00
39%Income from €45,897.01 to €100,002.00
40%Income from €100,002.01 to €150,000.00
41%Income from €150,000.01 to €200,004.00
42%Income from €200,004.01 and above

Income Tax in Luxembourg in 2020

Taxes, including personal income tax, expenses and limitations are reviewed by the Government in Luxembourg periodically and typically updated each year. Not that not all tax rates and thresholds in Luxembourg change annually, alterations to tax policy to support strategic economic growth in Luxembourg mean that the certain areas may be focused on to provide specific tax relief in Luxembourg or support growth in certain areas (overseas invstment in Luxembourg for example may mean reduced non-resident income tax rates in Luxembourg for a period).

When tax policy in Luxembourg changes, the resultant tax tables also change. Tax tables in Luxembourg are simply a list of the relevent tax rates, fixed amounts and / or threholds used in the computation of tax in Luxembourg, the Luxembourg tax tables also include specific notes and guidance on the validity of scenarios (for example, qualifying criterea for specific tax relief / allowances) and notes of the calculation of phaseout of specific tax elements within each taxation group (dividends and corporation tax thresholds in Luxembourg for example).

Luxembourg Tax Tables may also be referred to as Luxembourg Tax Slabs, Luxembourg personal allowances and tax thresholds or Luxembourg business tax rates. They all refer to the tax tables, whether in whole or as specific sections/categories of the tax tables therein. In the section, we publish all 2020 tax rates and thresholds used within the 2020 Luxembourg Salary Calculator. This means that if you are aware of a 2020 tax exemption or 2020 tax allowance in Luxembourg that you are entitled too BUT it isn't listed here, that we don't allow for it in this version of the Luxembourg Salary Calculator. This is simply because we updated our tax calculators based on user feedback, we tailor the Luxembourg Salary Calculator to suit our users needs. Our aim is to keep tax calculations in Luxembourg simple, we achieve this my making the Luxembourg tax calculators relevent to our community's needs, this includes you. So, if you would like a new 2020 tax rates, allowance or threshold adding (or perhaps updating), or if you notice an error in our 2020 tax calculations, simply contact us and we will adjust the tool.

Choose a specific income tax year to see the Luxembourg income tax rates and personal allowances used in the associated income tax calculator for the same tax year.