- On December 21, 2023, the CJEU issued a decision on the VAT status of independent directors in Luxembourg.
- The Court concluded that director fees do not fall within the scope of VAT if directors are not acting independently.
- As a result, director fees in such situations are no longer subject to VAT.
- This decision contradicts the position of the Luxembourg VAT authorities as stated in a 2016 Circular letter.
Source: taxand.com
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
Latest Posts in "Luxembourg"
- Luxembourg POS and VAT Requirements: No Fiscalization, Flexible Receipts, Standard VAT Compliance
- Luxembourg POS: No Certification, Flexible Receipts, Minimal Regulation, VAT and Consumer Code Apply
- Accelerating VAT Refunds: Cash-Flow Optimisation Strategies for Luxembourg Businesses in 2026
- Luxembourg – Intrastat thresholds for 2026
- E-invoicing: EU and Luxembourg considerations for businesses
