Luxembourg holding company advantages

Updated time: Jul 28, 2020, 14:13 (UTC+07:00)

The taxation system is among the benefits of a holding company and among the reasons why foreign investors decide for such type of company. The following advantages of a holding company in Luxembourg can help investors decide easily for this form of business in the Grand Duchy:

Advantages of a holding company in Luxembourg

  • a SOPARFI is subject to a reduced withholding tax or income tax exemption on pidends;
  • there is no withholding tax on interest payments made in Luxembourg;
  • such a company can be managed by a single director which can also be the shareholder;
  • EUR 30,000 is the minimum share capital for a holding company and foreigners can use any currency they want;
  • holding companies in Luxembourg do not need to pay capital gains taxes;
  • if the company is not subject to commercial activities, information about the owners will be private.

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