Luxembourg investment entities, Spain tax treaty | KPMG | GLOBAL

Luxembourg: Tax treaty with Spain; entities not eligible for benefits

Luxembourg entities, investment vehicles

Pursuant to a legislative change in July 2015, the standard rate of withholding tax on Spanish securities (debt securities and equities) has been reduced from the current rate of 20% to 19.5%. Shortly thereafter, the Luxembourg tax authorities in July 2015 released guidance to clarify that the following types of Luxembourg entities or investment vehicles would not benefit from application of provisions of the income tax treaty between Luxembourg and Spain.


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