Luxembourg vs Switzerland
Corporate Tax Comparison
Time of Update: Luxembourg: 4/05/2026 / Switzerland: 4/01/2026
Compare Luxembourg and Switzerland corporate tax rates, filing due dates, withholding tax, VAT, capital gains tax, and effective tax metrics for cross-border company planning.
Luxembourg vs Switzerland Corporate Tax Comparison
Basic Corporate Tax Comparison
Corporate Income Tax (CIT)
Luxembourg
Switzerland
General CIT Rate:
23.87% (CIT, solidarity surtax, and municipal business tax [Luxembourg City, from tax year 2025])
General CIT Rate:
Federal corporate income tax: after-tax profit of 8.5% (pre-tax profit of 7.83%). State and local CIT is added to federal CIT, resulting in an overall effective tax rate between 11.9% and 21.0%, depending on the company's domicile in Switzerland.
CIT Return Due Date:
December 31 of the following year.
CIT Return Due Date:
The due date varies from canton to canton (usually between six and nine months after the close of the business year).
CIT Payment Due Date:
At the end of the month following the receipt of the tax assessment receipt.
CIT Payment Due Date:
The due date varies from canton to canton.
CIT Estimated Payment Due Date:
Quarterly installment payment.
CIT Estimated Payment Due Date:
Federal CIT is usually due by 31 March of the following tax period. At the cantonal level, the due dates vary from canton to canton.
Withholding Tax (WHT)
Luxembourg
Switzerland
Resident Withholding Tax (Dividend/Interest/Royalty):
15/0/0
Resident Withholding Tax (Dividend/Interest/Royalty):
0%-35% / 0%-35% / 0
None-Resident Withholding Tax (Dividend/Interest/Royalty):
15/0/0
None-Resident Withholding Tax (Dividend/Interest/Royalty):
0%-35% / 0%-35% / 0
Value-Added Tax (VAT)
Capital Gain Tax (CGT)
Luxembourg
Switzerland
General Capital Gain Tax Rate:
Capital gains are subject to the normal corporate income tax rate constraint.
General Capital Gain Tax Rate:
The effective tax rate (ETR) depends on the company’s location of corporate residency in Switzerland. The ETR of a company resident at the capital cities of the Swiss cantons varies between 11.9% and 20.5%. Exceptions to be considered relate to the participation relief and capital gains on real estate.
Effective Tax Rate (ETR)
Luxembourg
Switzerland
Composite Effective Average Tax Rate:
23.24%
Composite Effective Average Tax Rate:
17.1%
Composite Effective Marginal Tax Rate:
18.09%
Composite Effective Marginal Tax Rate:
10.4%
