Previously, capital gains (net income) in relation to the sale of certain real estate—including a secondary home or investment land / property (i.e., not the taxpayer’s main residence)—and held by the taxpayer for more than two years were taxed at one half (½) of the taxpayer’s global tax rate as “extraordinary income.” For a limited time from 1 July 2016 to 31 December 2017 (inclusive), the taxation of such gains realized during this period will be reduced to one quarter (¼) of the global tax rate of the taxpayer.
Read aprepared by the KPMG member firm in Luxembourg: Law published (Bill 6983): 1/4 global tax rate for real estate capital gains (99ter - 131§1d LIR)
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