The Luxembourg Government has submitted draft legislation to parliament for the introduction of a new intellectual property regime to replace the regime that was abolished effective 1 June 2016 because it was not in compliance with the modified nexus approach of BEPS Action 5 ({News-2016-01-04/A/5-previous coverage}). Main points of the draft legislation are as follows:
- The regime will provide for an 80% corporate income tax exemption on qualifying net income derived from the commercializat…