According to a recent update by the Guernsey government, the income and capital tax treaty between Guernsey and Luxembourg entered into force on 8 August 2014. The treaty, signed 10 May 2013, is the first of its kind between the two jurisdictions and will apply from 1 January 2015.
Taxes Covered
The treaty covers Guernsey income tax, and Luxembourg individual income tax, corporation tax, capital tax and the communal trade tax.
Withholding Tax Rates
- Dividends - 5% if the beneficial own…