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🇱🇺 Luxembourg Statutory Tax Guide

Luxembourg Tax Brackets & Rates (2026)

Comprehensive statutory tax rates, withholding thresholds, social contributions, and deduction rules governed by Administration des Contributions Directes (ACD).

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📜 Statutory Authority & Legal Framework

In Luxembourg, personal income taxation is administered by the Administration des Contributions Directes (ACD) under the authority of Loi concernant l’impôt sur le revenu (L.I.R.).

Luxembourg progressive 23-tier tax scale (0% to 42%) with 12.45% CCSS social security contribution.

📊 2026 Progressive Marginal Tax Brackets

Currency: EUR
Income Bracket (€) Marginal Tax Rate Bracket Type
Exempt (0%) 0.0% Tax-Free Allowance
8% 8.0% Tier 2
18% 18.0% Tier 3
30% 30.0% Tier 4
39% 39.0% Tier 5
42% 42.0% Tier 6

🛡️ Mandatory Social Security & Pension Contributions

CCSS Sécurité Sociale

Employee Share: 12.4%
Employer Share: 12.2%
Wage Cap: € 145,000

Frequently Asked Questions: Luxembourg Taxation

What are the income tax brackets in Luxembourg?

Luxembourg operates a progressive tax system administered by Administration des Contributions Directes (ACD) under Loi concernant l’impôt sur le revenu (L.I.R.).

What social security or pension contributions apply in Luxembourg?

Mandatory contributions include: CCSS Sécurité Sociale (12.4%).