Introduction to setting up a Luxembourg branch
Luxembourg has a range of incentives that make the country popular with foreign investors. These include low tax rates, neutrality and a geographical position advantageous for trading with European and other overseas markets. The parent company of the branch must obtain a trading permit from the Ministère des Classes Moyens before the branch can commence trading.
What are the formalities regarding Luxembourg branches?
- A copy of the parent company’s Certificate of Incorporation
- A copy of the Memorandum & Articles of Association of the parent company
- A registered address in Luxembourg
- A copy of the parent company’s Certificate of Good Standing
- Nominate a representative of the Luxembourg branch
The documents above are required by the Trade and Companies Register in order for branch registration.
All documentation must normally be notarised, apostilled and translated into French by a certified translator.
What are the accounting requirements for a Luxembourg Branch?
The branch must register with the relevant Tax Authorities in Luxembourg in order for appropriate taxation to be calculated.
The filing of VAT returns either monthly, quarterly or annually depends on the turnover of the branch, and tax returns should be filed annually.
The parent company should keep the accounts of the branch in accordance with the Luxembourg Commercial Code and the Law on commercial companies.
For further information on accountancy and tax rates in Luxembourg, please contact us.
What office facilities are available when registering a branch?
Luxembourg offers the following office facilities to branches:
- Registered offices provide a registered address for branch correspondence
- Virtual offices provide off-site communication with facilities such as telephone, fax and mail forwarding
- Serviced offices are ready for immediate occupation and provide all the essential business facilities
Branch formation packages
We will handle every aspect of the branch formation for you. Our accomplished team can provide a branch formation package in which we take care of aspects including setting up the branch, submitting the VAT and tax registrations and obtaining the commercial licence, organising the process from start to finish.
Our experience and expertise on all European formation requirements can also support you in establishing multiple branches. The benefits of establishing multiple branches include increased exposure and new business from the local area. As with single branches, we can manage the entire formation process so you can just relax and enjoy the benefits.
For further information please send an enquiry or contact us using the form below.