Effective tax rates for expenditure based tax incentives - Corporate in Luxembourg
Luxembourg: Effective tax rates for expenditure based tax incentives - Corporate was 21.89 Percentage of taxable income in 2025. ▬ Flat
Effective tax rates for expenditure based tax incentives - Corporate in Luxembourg, 2019–2025
Source: Organisation for Economic Co-operation and Development. Measured in Percentage of taxable income.
Analysis
The most recent figure for effective tax rates for expenditure based tax incentives - corporate in Luxembourg is 21.89 Percentage of taxable income, measured in 2025. That is the lowest value across all 7 years on record.
The figure is down 4.3% on the previous year and down 4.3% over ten years.
That places Luxembourg 8th out of 50 countries with data for 2025, putting it in the top quarter.
Effective tax rates for expenditure based tax incentives - Corporate in Luxembourg, year by year
| Year | Percentage of taxable income | Change |
|---|---|---|
| 2019 | 22.87 Percentage of taxable income | — |
| 2020 | 22.87 Percentage of taxable income | +0.0% |
| 2021 | 22.87 Percentage of taxable income | +0.0% |
| 2022 | 22.87 Percentage of taxable income | +0.0% |
| 2023 | 22.87 Percentage of taxable income | +0.0% |
| 2024 | 22.87 Percentage of taxable income | +0.0% |
| 2025 | 21.89 Percentage of taxable income | -4.3% |
Luxembourg compared with similar countries
- Luxembourg's 21.89 Percentage of taxable income is above the median for high income countries, which is 12.71 Percentage of taxable income, 1.7× the median. (40 countries reporting)
- Luxembourg's 21.89 Percentage of taxable income is above the median for Europe & Central Asia, which is 10.17 Percentage of taxable income, 2.2× the median. (29 countries reporting)
Averages by decade
| Decade | Average | Lowest | Highest | Years |
|---|---|---|---|---|
| 2010s | 22.87 Percentage of taxable income | 22.87 Percentage of taxable income | 22.87 Percentage of taxable income | 1 |
| 2020s | 22.71 Percentage of taxable income | 21.89 Percentage of taxable income | 22.87 Percentage of taxable income | 6 |
Countries ranked near Luxembourg
- 5 Mexico 25.94 Percentage of taxable income compare
- 6 India 22.99 Percentage of taxable income compare
- 7 Australia 22.69 Percentage of taxable income compare
- 9 Israel 21.07 Percentage of taxable income compare
- 10 Italy 20.2 Percentage of taxable income compare
- 11 Indonesia 20.15 Percentage of taxable income compare
More economy & growth data for Luxembourg
- Africa's Development Dynamics (AfDD) Table 04 - Annual real GDP 1.47 Percent per annum (2029)
- Africa's Development Dynamics (AfDD) Table 02 - Annual real GDP 2.3 Percent per annum (2029)
- Foreign direct investment, net outflows (BoP, current US$), gaps 108.60 billion BoP, current US$ (2024)
- Foreign direct investment, net outflows (BoP, current US$), per unit 1.16 BoP, current US$ per US$ of GDP (2024)
- Foreign direct investment, net outflows (BoP, current US$), per capita 160,408 BoP, current US$ per person (2024)
- Foreign direct investment, net inflows (BoP, current US$), gaps filled -93.89 billion BoP, current US$ (2025)
- Foreign direct investment, net inflows (BoP, current US$), annual -188.59 % change on previous year (2025)
- Foreign direct investment, net inflows (BoP, current US$), per unit -0.9282 BoP, current US$ per US$ of GDP (2025)
- Foreign direct investment, net inflows (BoP, current US$), per capita -136,679 BoP, current US$ per person (2025)
- Total reserves (includes gold, current US$), annual growth rate 9.54 % change on previous year (2025)
Frequently asked questions
- What is effective tax rates for expenditure based tax incentives - corporate in Luxembourg?
- Effective tax rates for expenditure based tax incentives - corporate in Luxembourg was 21.89 Percentage of taxable income in 2025, according to Organisation for Economic Co-operation and Development.
- What is the highest effective tax rates for expenditure based tax incentives - corporate recorded in Luxembourg?
- The highest recorded value was 22.87 Percentage of taxable income in 2019.
- What is the lowest effective tax rates for expenditure based tax incentives - corporate recorded in Luxembourg?
- The lowest recorded value was 21.89 Percentage of taxable income in 2025.
- How does Luxembourg rank for effective tax rates for expenditure based tax incentives - corporate?
- Luxembourg ranks 8th out of 50 countries with data for 2025.
- Is effective tax rates for expenditure based tax incentives - corporate rising or falling in Luxembourg?
- Over the last ten years it is down 4.3%. The long-run trend across the full record is flat.
- Where does this Luxembourg data come from?
- The figures come from Organisation for Economic Co-operation and Development, published as part of Effective tax rates for expenditure based tax incentives - Corporate tax statistics — Effective average tax rate. Statizoid updates them automatically from the source API.
Download this data
CSV · JSON — 7 observations, free to reuse under OECD Terms and Conditions (attribution required).
About this data
This table reports synthetic tax policy indicators that capture the effect of expenditure-based R&D tax incentives on firms’ investment costs: The EATR for R&D measures the impact of taxation on R&D investments that earn an economic profit. the user cost of capital for R&D measures the return that a firm needs to realise on an R&D investment before tax to offset all costs and taxes that arise from the investment, making zero economic profit. Further methodological information is available in the explanatory annex.