Tax benefits

for Luxembourg residents or equivalents.

You are a taxpayer residing in Luxembourg or equivalent and wish to take advantage of the tax benefits provided for under the income tax law ?

BCEE offers a selection of financial products that enable you to benefit from the tax deductions provided for under Luxembourg tax laws :

S-Pension plan

The S-Pension product offered by BCEE is based on the tax treatment of retirement pensions as set forth in article 111bis of the law relating to income tax.

The maximum annual amount (including fees) that you can deduct from your taxable income changes depending on your age at the start of the tax year:

Age at start of year	Maximum amount deductible each year
Under 40	1.500 EUR
Between 40 and 44	1.750 EUR
Between 45 and 49	2.100 EUR
Between 50 and 54	2.600 EUR
Between 55 and 74	3.200 EUR

In a jointly taxpaying couple,where each spouse takes out a contract, the deductible amount is calculated individually for each spouse.

If you choose to pay into your “S-Pension” pension fund by standing order “MAX” you will benefit from :

automatic payments from your account
payments automatically adjusted to the maximum tax deductible age limit
a 30% permanent reduction on future payment fees.

Further information on S-Pension can be found in the French brochure S-Pension.

BHW building savings scheme

The premiums paid for setting up a savings account as part of a BHW building savings scheme can be deducted, under certain conditions, from your taxable income (Article 111 of the income tax law) up to an annual threshold of EUR 672 for the taxpayer, plus EUR 672 for the spouse and EUR 672 for each child living in the household.
Since 1 January 2009, complete fiscal exemption of the credit interest paid by the building societies.

Life insurance

The premiums paid for life insurance, public liability insurance and other forms of insurance can be deducted from your taxable income (Article 111 of the income tax law) up to an annual threshold of EUR 672 for the taxpayer, plus EUR 672 for the spouse and EUR 672 for each child living in the household.

Personal loans

The debit interest on a loan taken out to purchase a car, private goods or to finance personal outgoings can be deducted from your taxable income (Article 111 of the income tax law) up to an annual threshold of EUR 672 for the taxpayer, plus EUR 672 for the spouse and EUR 672 for each child living in the household.

Note that BCEE capitalisation sicav also benefit from favourable tax treatment as provided for by Luxembourg tax laws for Luxembourg taxpayers or equivalent :

No withholding tax for most BCEE sicav
No taxable or declarable capital income
Exemption from capital gains after a holding period of 6 months

Please also consult the website of the Luxembourg tax administration www.impotsdirects.public.lu for further information on Luxembourg tax laws.