Luxembourg VAT (TVA) Guide & Calculator
Calculate Luxembourgish VAT with our simple tool. In Luxembourg, VAT is known as Taxe sur la valeur ajoutée (TVA). Our calculator helps you find gross and net prices for any of Luxembourg's four VAT rates.
Current VAT Rates in Luxembourg
Luxembourg is known for having the lowest standard VAT rate in the EU. It applies four different rates:
- Standard Rate (17%): This rate applies to most goods and services.
- Intermediate Rate (14%): This "parking rate" applies to certain goods and services like some wines, advertising materials, and management of securities.
- Reduced Rate (8%): This rate applies to goods and services such as gas, electricity, and bicycles.
- Super Reduced Rate (3%): The lowest rate is applied to essential goods, including foodstuffs, pharmaceuticals, books, and restaurant services.
History of VAT in Luxembourg
Luxembourg introduced its VAT system on January 1, 1970. The country has consistently maintained some of the lowest VAT rates in Europe. The standard rate has seen several changes over the years, with the most recent increase to 17% in 2015. Note that the rates were temporarily reduced by 1% during 2023 but returned to their standard levels in 2024.
| Period | Standard Rate | Reduced Rate(s) |
|---|---|---|
| From 01/01/2024 | 17% | 14% / 8% / 3% |
| From 01/01/2015 | 17% | 14% / 8% / 3% |
| From 01/01/1993 | 15% | 12% / 6% / 3% |
| From 01/07/1983 | 12% | 6% / 3% |
| From 01/01/1971 | 10% | 5% / 2% |
| From 01/01/1970 | 8% | 4% / 2% |