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Luxembourg tax authorities clarify the "CIV carve-out" under the reverse hybrid rules

On 12 August 2025, the Luxembourg tax authorities issued Circular L.I.R. nº 168quater/2, clarifying the interpretation of the Collective Investment Vehicle carve-out from reverse hybrid rules under Art. 168quater(2) of the Luxembourg Income Tax Law.

New double tax treaty concluded with the United Kingdom ratified by Luxembourg

The new double tax treaty between Luxembourg and the United Kingdom (“DTT”) ratified by the Luxembourg Parliament on 19 July 2023 should apply as from 2024.

Luxembourg adopts comprehensive carried interest tax reform

On 22 January 2026, Luxembourg's Parliament approved Bill No. 8590, delivering the jurisdiction's most ambitious carried interest tax reform since 2013.

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