The six things you need to know about your “tax card”

It’s already time for your new withholding tax form!  As every year at this time, it arrives in the mailboxes of employees and retired persons, whether residents or cross-border commuters.

A reminder of several important points:

– You must provide your employer with your tax withholding slip every year (your employer will not obtain it for you).

If, due to the COVID crisis in particular, you are working from home, scan this document and send it to your employer without delay by e-mail.

– If your employer does not have your form (which is used to calculate the tax on your pay correctly), you bear the risk of being taxed at the maximum flat-rate amount of plus or minus 38%.

– You should carefully check the details on the document, i.e. name, address, social security number and tax class if known.

–  In case of errors or omissions, you must inform the Administration des Contributions Directes, or ACD (Administration des Contributions Directes – Luxembourg (public.lu)) as soon as possible to have the data corrected or to obtain a new card.

– If there are any changes during the course of the year (e.g. move or marital status), you must ask the ACD to make these changes and provide proofs.

Do you have any further questions on the subject? Please do not hesitate to contact our legal department by email at legal@aleba.lu.