Different Earnings and Different Taxes

Taxable income is greater than € 30,000 for class 1A persons cumulating several taxable incomes in the country.

Example : a widowed person who earns € 22,000 per year is not required to file a tax return because his income is less than € 30,000 per year. 600 euros per year of income not subject to withholding tax.

Example: A taxpayer who has rental income greater than 600 euros per year.

You need to count net income from movable capital liable to withholding tax greater than € 1,500.

For example: Dividends received for a gross amount of 7,000 euros.

  • Resident having provisionally obtained class 2, imposed collectively with a non-resident spouse.
  • Taxable income including more than 1,500 € net of fees or royalties.

Explanations: if it is a resident taxpayer, the declaration by way of base is compulsory from this amount (1,500 €). For a non-resident taxpayer, the withholding tax is in principle final up to 100,000 €. The Administration asks the taxpayer to complete the income tax return.

 What Documents Must Be Provided With My Tax Return?

  • In the case of a PACS or partnership and provided that the partners request collective taxation, the partnership certificate (to be attached only once) must be annexed to the tax declaration and accompanied by the declaration of residence. 
  • Common (to be joined every year).
  • Any supporting document corresponding to the income received such as the remuneration certificate, the pension certificate, the bank’s tax report, the tax balance sheet, etc.

Supporting documents for all expenses other than obtaining costs and transport costs for which deduction is requested: bank certificates, insurance certificates, extract from housing savings accounts, certificate of donation receivers. The tax app is important and through the apps you can have the perfect tax submission available.

 What Can We Deduce From His Declaration?

In the tax declaration form, certain boxes are devoted to tax deductions which may relate in particular to:

Travel costs with a maximum of € 2,574 if they are not already covered by the employer (payment of a train subscription, reimbursement of mileage costs, etc.).

Example: the journey home to work is taken into account in this amount and depends on the distance between the place of residence and the place of work. The Administration publishes tables showing the deductible amount every year.

For example: a taxpayer having his domicile in Differdange and his place of work in Frisange may deduct € 1,782, an amount corresponding to 22 removal units (the first 4 units are not deductible).

Non-residents or cross-border workers are generally at the ceiling of € 2,574. The interest subsidy by the employer up to € 3,000 per person for a loan for personal property and € 500 for a consumer loan,


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