Deduct your car loan from your Luxembourg tax return!

You have found your car on luxauto.lu and you have taken out a car loan? Then think about saving taxes! In the Grand Duchy, the tax return allows you to deduct the interest on your car loan.

How much can be deducted in the Luxembourg tax return?

For interest expenses and insurance premiumsThe deductible limit applies to the Luxembourg tax return since the 2017 tax year.

Thus, you can deduct per year in total an amount of 672€. when you file your tax return. For each person in the household, this ceiling is increased by their own amount.

Let's take an example:

For a household of 4 people (2 adults and 2 children), it will therefore be able to benefit from a deduction of up to €2688 (4 x €672) for the combined interest liabilities and insurance premiums on the Luxembourg tax return.

With taxx.luYou can deduct your car loan from your tax return. Child's play!

Once you have received the certificate from your bank containing all the necessary information, as you do every year, enter all this information under the heading "Interest on debts in the Special Expenses" form on taxx.lu.

The taxx.lu system then automatically inserts the amounts to be deducted on your tax return.