Business accounts: Luxembourg

Updated 6 October 2026

An honest assessment before work starts, the quote is fixed in writing.

Luxembourg is one of Europe's largest financial centres and a eurozone EU country where banks are supervised by the Commission de Surveillance du Secteur Financier. Accounts here are opened for companies working with European clients and investors, holding companies and families with significant wealth. For foreigners the key question is the same as anywhere in the EU: the bank must understand who the owner is, where the money comes from and why the account is needed in Luxembourg.

Below: which accounts are opened, what the bank checks, which documents to prepare, why applications are refused and how we help.

Who a Luxembourg account suits

• Luxembourg companies. A company operating in the country needs a local account: capital is paid into it on formation, and taxes and salaries are paid from it.
• Foreign companies and holding companies that hold assets in Europe or work with European investors.
• Individuals with capital who want an account in a stable eurozone country.

A Luxembourg company and its account

If there is no company yet, the account is usually opened together with its formation. A SARL needs share capital of EUR 12,000, about $13,445; a simplified SARL-S, which only an individual can form, needs EUR 1 to EUR 12,000. From 2025 corporate income tax is 16%, or 14% for small companies with taxable income up to EUR 175,000, plus municipal business tax of 6% to 12% depending on the commune. Beneficial owners are recorded in the register of beneficial owners. More on taxes on our Luxembourg taxes page.

What the bank checks

• who the owners and directors are, down to the beneficial owners;
• what the company does, where its clients and counterparties are and what turnover is expected;
• the source of the owners' and company's funds;
• the business's or family's link to Luxembourg and Europe.

Luxembourg banks focus on clients with a clear structure and significant balances. A small business with no link to Europe often finds it easier to open an account in another EU country.

Documents

• constitutional documents and register extract, apostilled and translated for a foreign company;
• passports and proof of address of directors and owners;
• an ownership chart down to the beneficial owners;
• a business description, contracts and financial statements;
• proof of source of funds.

Deposit protection and timing

Deposits in Luxembourg banks, as across the EU, are protected by a guarantee scheme up to EUR 100,000, about $112,040, per depositor per bank. Opening goes through several stages: an initial client assessment, document collection, the bank's compliance review, a meeting or video call with the owner, and only then the account. Timing depends on the bank and the completeness of the file, so we prepare documents before the first meeting.

Why applications are refused

• no link to Luxembourg or Europe, so the bank sees no reason for the account;
• an unexplained complex ownership structure;
• an unverified source of funds;
• owners from sanctioned countries or high-risk sectors;
• expected balances too small for the bank's profile.

Company taxes in 2026

Since 2025 Luxembourg's corporate income tax rate has been cut from 17% to 16%; together with the municipal business tax and the employment fund surcharge, the overall rate for a company in Luxembourg City is about 23.9%. Value added tax is 17%. The bank compares account turnover with the company's tax filings, so we set up bookkeeping right after opening.

What we do

We assess the chances, choose a bank for the profile, prepare the business description and documents, and handle the application and communication with the bank until it decides. If you need a company, we register it in Luxembourg; see company registration in Luxembourg. A manager will calculate the cost in the chat.

What we do

• Corporate account - opening assistance

See also

Company formation · Personal account · Investment property · Country taxes · All country programs

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