Luxembourg: Proposed legislation includes tax credit for start-up companies
Tax credit to aid start-ups in securing financing
The government in April 2025 introduced a bill proposing a new tax credit to support young innovative companies in accessing financing during their initial years.
The bill outlines eligibility criteria for both investors and start-ups, specifying investment requirements and conditions for the tax credit. Key points include defining eligible investors, criteria for innovative start-ups, and the maximum and minimum investment thresholds. If enacted, this bill would take effect from the 2026 tax year.
For more information, contact a KPMG tax professional in Luxembourg:
Sacha Thill | sacha.thill@kpmg.lu
Xavier Martinez | xavier.martinez@kpmg.lu
Frederic Scholtus | frederic.scholtus@kpmg.lu