24. Glossar

Declaration & Procedures

1. Luxembourg Tax Return
   Official form to declare your income to the ACD for tax calculation.

2. Administration of Direct Contributions (ACD)
   The Luxembourg tax authority responsible for collecting taxes and reviewing tax returns.

3. Form 100
   Standard form to declare your income as an individual.

4. Filing a Luxembourg Tax Return
   Submitting your tax return to the ACD, either online via MyGuichet or on paper.

5. LuxTrust / eID Account
   Secure identification required to sign and validate your online tax return.

6. Corrected Tax Return
   A declaration modifying a previous return to correct errors or omissions.

7. Tax Adjustment
   Process of correcting or adjusting a declaration after review.

8. Provisional Tax Assessment
   Initial estimate of the tax due before the final calculation.

9. Final Tax Assessment
   Official document specifying the exact tax payable.

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Income & Taxation

1. Income Tax
   Amount payable on all taxable income in Luxembourg.

2. Taxable Income
   Income subject to tax, such as salaries, rents, or dividends.

3. Exempt Income
   Income not subject to tax, e.g., certain EU civil servant salaries.

4. Worldwide Income
   Total income earned worldwide.

5. Income from Securities
   Financial income: dividends, bank interest, or gains on shares.

6. Rental Income
   Rent received from real estate, taxable in Luxembourg.

7. Capital Gains on Real Estate
   Profit realized from selling real estate.

8. Capital Gains on Shares
   Profit realized from selling shares or other securities.

9. Net Taxable Income
   Income after allowed deductions and tax reliefs.

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Deductions & Allowable Expenses

1. Flat-rate Deduction
   Fixed amount automatically deducted without supporting documents.

2. Depreciable Base
   Value of an asset on which depreciation is calculated.

3. Tax Deductions
   Amounts that reduce taxable income.

4. Special Expenses
   Category of deductible expenses such as insurance, retirement, or donations.

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Rates, Tariffs & Credits

1. Tax Scale
   Income brackets and applicable rates used to calculate tax.

2. Progressive Taxation
   System where the tax rate increases with income.

3. Tax Payable Balance
   Remaining amount to pay after deductions and withholdings.

4. Tax Refund
   Amount reimbursed if too much tax was paid.

5. International Tax Treaty
   Agreement between two countries determining who pays tax on certain income.

6. Marginal Tax Rate
   Rate applied to the last income bracket, usually the highest.

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Family & Residence

1. Luxembourg Tax Residency
   Country where you are taxable on your worldwide income.

2. Joint Taxation
   A couple filing a single tax return to calculate their taxes together.

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Tax Documents

1. Salary Certificate
   Official statement of income and taxes withheld by the employer.

2. Bank Statements
   Proof of income, interest, or dividend payments.

3. Mortgage Interest Certificate
   Document confirming mortgage interest paid, deductible in certain cases.

4. Rental Income Certificates
   Proof of received rental income and associated expenses.

5. Other Deduction Certificates
   Documents for insurance, retirement contributions, or donations.

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Deadlines & Obligations

1. Tax Year
   Period covered by the tax return.

2. Filing Deadline
   Last day to submit the tax return (December 31).

3. Late Payment Interest
   Penalty applied in case of late filing.

4. Estimated Tax / Automatic Assessment
   Automatic calculation of tax if no return is submitted.