Luxembourg holding, AG formation – legal and taxation information
Luxembourg holding, Gmbh formation – legal and taxation information
Luxembourg holding, AG formation – legal and taxation information
Company Type: Holding 1929, Soparfi holding Aktiengesellschaft (AG) (Public Limited Company)
| Name: | any name not already entered in the trade register. Required endings: “AG” and “SA”, The Extension “holding” is required for the formation of a 1929 Holding company. |
| Capital: | Minimum of 31 0000 €, 25% of which must be paid up. |
| Shares: | Bearer shares or registered shares. Prerequisite for bearer shares: Capital must be paid up in full. |
| Shares Index: | Not Obligatory |
| Registered Agent Requirement: | No |
| Registered Headquarters: | Yes |
| Entry in the public Register: | Commercial register, Register de commerce et des Sociétés |
| Shareholders: | Minimum of 2, can be natural persons or legal entities. |
| Directors: | Minimum of 3, can be natural persons or legal entities. |
| Secretary (Commercial): | Yes |
| Incorporation: | reasonable delay |
| Disclosure of Beneficial Owner: | No |
| Disclosure of Shareholders: | Names of the founding shareholders must be entered in the trade register. Complete details of name, occupation and residency are required. Anonymity can be retained through nominees. |
| Disclosure of Directors: | Directors data must be published in the commercial register.It is possible to appoint nominee directors. |
| Trading Restrictions: | Yes, in the case of banking or insurance activities. A 1929 holding cannot trade commercially. |
| Taxation: | 1. Profits from commercial activities are taxed at progressive rates of between 16% and 30%.2.1929 Holding companies are completely tax free.3. Soparfi companies are subject to normal tax rates on commercial profits. In the case of Soparfi companies which fulfill holding functions, dividends, capital gains and liquidation proceeds are fully or partially tax exempt. Tax advantages result from the Luxembourg national regulations, exciting double taxation agreements, and from EU directives on parent and subsidiary companies. |
| State Tax Charges: | Only for 1929 Holding companies: annual payment of 2% of the invested capital (subscription duty). |
| Double Taxation Agreements: | Yes, 38, Applicable to Soparfi companies. 1929 Holding companies are exempt. |
| Financial Statements: | Yes, with they are not published. Financial statements must be submitted to the commercial register. |
| Tax Returns: | Yes, with the exception of 1929 Holdin companies, which are tax exempt. |
| Accounting: | Yes |
| Annual Reports: | Yes, by commissary |
| Formation Costs: | Reasonable formation fees |
| Annual Running Costs: | Reasonable annual running cost |
Luxembourg holding, Gmbh formation – legal and taxation information
Company Type: Holding 1929, Soparfi Holding Gesellschaft mit beschrankter haftung (Gmbh) (Limited Liability Company)
| Name: | Any Name not already entered in the trade register. Required endings: “Gmbh” or “SARL’, the extension “Holding” is required for the formation of a 1929 Holding company. |
| Capital: | Minimum of 12 500 €, must be paid up in total. |
| Shares: | No Shares, but stakes. |
| Shares Index: | Names of partners are entered into the commercial register. |
| Registered Agent Requirement: | No |
| Registered Headquarters: | Yes |
| Entry in the public Register: | Commercial register, register de commerce et des sociétiés |
| Shareholders: | Minimum of 1 shareholder |
| Directors: | Minimum of 1 directors |
| Secretary (Commercial): | No |
| Incorporation Period: | 1 Week |
| Disclosure of Shareholders: | No |
| Names of partners must always be entered in the commercial Register. Anonymity can be retained through nominees. | |
| Disclosure of Directors: | Directors data must be published in the commercial register. It is possible to appoint nominee directors |
| Trading Restrictions: | Yes, in the case of banking or insurance activities.A 1929 holding cannot trade commercially. |
| Taxation: | Profits from commercial activities are taxed at progressive rates of between 16% and 30%.2.1929 holding companies are completely tax free.3.Soparfi companies are subject to normal tax rates on commercial profits. In the case of soparfi companies which fulfill holding functions, dividends, capital gains and liquidation proceeds are fully or partially tax exempt.Tax advantages result from the Luxembourg national regulations, existing double taxation agreements, and from EU directives on parent and subsidiary companies. |
| State Tax Charges: | Only for 1929 holding companies: annual payment of 2% of the Invested capital (subscription duty). |
| Double Taxation Agreements: | Yes, 38, applicable to soparfi companies. 1929 holding companies are exempt. |
| Financial Statements: | Yes, but they are not published. Financial statements must be submitted to the commercial register. |
| Tax Returns: | Yes, with the exception of 1929 holding companies, which are tax exempt. |
| Accounting: | Yes |
| Annual Reports: | Yes |
| Formation Costs: | Reasonable formation fees |
| Annual Running Costs: | Reasonable annual running costs. |
Luxembourg: General Information
| Area: | 2586 sq km |
| Capital: | Luxembourg |
| GDP per capita: | 56600 Euro |
| Unemployment Rate: | 4.6% |
| Population: | 450 000 |
| Language: | French, German, Luxembourgish |
| Currency: | Euro |
| Rate of Inflation: | 2,3 % |
| Political Risks: | None |
| Communications: | Good |
| Residence Permit: | No restrictions for EU nationals, non-EU nationals subject to approval. |
| Legal Systems: | French law (code Napoleon), Belgian law, in principle German tax law. |
| Exchange Control: | No |
| Patent Law: | Yes |
| Tax Information Exchange Agreement: | No |
