Digitalisation of withholding tax forms: obligations for employers

09 Apr 2021


Dorothée David

A Newsletter issued by the Luxembourg Inland Revenue (Administration des Contributions Directes) on 30 March 2021 informs employers of their obligations regarding electronic multi-year forms (i.e. digital withholding tax forms):

  • from 1 May 2021: withholding tax forms for employees will be made available to employers in their professional account area on the website, where they can be viewed and/or downloaded.
  • from 1 May 2021 until 31 December 2021: access to withholding tax forms on the website is not mandatory. This transitional period lets employers prepare their different software for calculating salaries with a view to incorporating electronic forms. During this period, employees will still need to submit their withholding tax form to their employer, as they have done in the past.
  • from 1 January 2022:  employers will be obliged to access the new system at least once a month in order to view the withholding tax forms for their employees, failing which they will be liable to pay a penalty. From this time on, employees will no longer need to submit their form to their employer.