Residence in LuxembourgOverview
Luxembourg introduced a residence permit for third-country investors in 2017, offering four investment routes: EUR 500,000 into an existing Luxembourg company, EUR 500,000 into a new business creating jobs, EUR 3 million into a management or investment structure based in Luxembourg, or a EUR 20 million deposit with a Luxembourg financial institution. Uptake was very limited — the government's own bill commentary records only nine permits issued since 2017 — and, in line with the European Commission's scrutiny of investor-migration schemes, the government tabled Bill No. 8586 in July 2025 to remove the category entirely.
The Chamber of Deputies adopted Bill 8586 on 14 October 2026 by 54 votes with 6 abstentions. Article 5 repeals Articles 53bis, 53ter and 53quater of the 2008 immigration law, which created the investor permit. At the time of review the request for dispensation from a second constitutional vote and publication in the Mémorial were still pending, and the bill text contains no specific transitional provision for permits already issued. New applications under the investor category should therefore not be planned; existing holders should take advice before their next renewal.
For internationally mobile families the more relevant question is which ordinary route fits their profile. Entrepreneurs who will run a Luxembourg business apply for a self-employed worker permit, which requires a business authorisation and a credible business plan. Financially independent individuals who will not work may apply for residence for private reasons, demonstrating stable resources, accommodation and comprehensive health insurance. Senior executives and specialists typically use the EU Blue Card or salaried-worker routes, which the same reform streamlines with a 90-day decision deadline.
Luxembourg taxes residents on worldwide income at progressive rates and has no lump-sum or non-domiciled regime. Since tax year 2025, however, a revised impatriate regime exempts 50% of qualifying gross remuneration up to EUR 400,000 for up to eight years for newly recruited highly skilled employees earning at least EUR 75,000. The country has a dense double-tax treaty network, no wealth tax for individuals, and inheritance tax is generally not levied in the direct line, which matters for succession planning.
Key benefits
- Full Schengen membership and residence in one of the EU's most stable, AAA-rated economies
- Access to a leading European fund, private-banking and wealth-management ecosystem
- Clear statutory routes for entrepreneurs, financially independent persons and highly skilled employees
- Long-term resident status after five years and eligibility to apply for Luxembourg nationality, which permits dual citizenship
- Impatriate regime exempting 50% of qualifying salary up to EUR 400,000 for up to eight years from 2025
- No net wealth tax for individuals and, in general, no inheritance tax between parents and children
- Multilingual, internationally oriented environment with strong international schooling
Requirements
- Valid passport and, for visa-required nationals, a type D visa obtained after the temporary authorisation to stay
- Temporary authorisation to stay applied for from abroad before entering Luxembourg (it is not possible to switch in-country without one)
- Clean criminal record extract or affidavit from each relevant country of residence
- Proof of accommodation in Luxembourg (lease or title deed)
- Comprehensive health insurance valid in Luxembourg for the initial application
- Self-employed route: business authorisation from the Ministry of the Economy and evidence that the activity serves an economic interest, with a viable business plan and sufficient funding
- Private-reasons route: stable and regular personal resources at least equal to the social inclusion income benchmark, assessed by the Directorate of Immigration
- Declaration of arrival at the commune within 3 days and a medical check after entry
Investment options
Investor residence permit (closing)
Formerly EUR 500,000 – EUR 20 million
The 2017 investor category with four investment routes. Its repeal was adopted on 14 October 2026; new applications should not be planned, and existing holders should review renewal strategy with counsel.
Self-employed worker permit
No statutory minimum investment
For founders and owner-managers running a Luxembourg business. Requires a business authorisation, a credible plan, adequate capitalisation and personal resources. This is the route the government points investors to after the repeal.
Residence for private reasons
Sufficient stable resources
For financially independent persons who will not work in Luxembourg. Requires proof of resources, housing and health insurance; permits are issued for up to three years and renewed while conditions are met.
EU Blue Card / salaried employment
Salary thresholds apply
For executives and specialists hired by a Luxembourg employer. Bill 8586 sets a 90-day decision deadline for salaried-worker permits and may be combined with the impatriate tax regime.
Step-by-step process
- 1
Route selection and tax review
We assess your profile, family composition and source of wealth, and model Luxembourg residence against your existing tax position before choosing the self-employed, private-means or employment route.
- 2
Preparatory structuring
Where a business is involved, we coordinate the company set-up, business authorisation and banking; for private-means applicants we assemble evidence of recurring income and assets.
- 3
Temporary authorisation to stay
The application is filed with the Directorate of Immigration from abroad. The ministry normally responds within three months.
- 4
Visa and arrival
Visa-required nationals obtain a type D visa. On arrival you declare your address at the commune within three days and complete the medical check.
- 5
Residence permit issuance
The residence permit application is filed within three months of arrival, followed by biometrics and collection. Family members follow through family reunification.
- 6
Renewal and long-term status
Renewals are filed within two months before expiry. After five years of lawful, uninterrupted residence you may apply for long-term resident status and, subject to language and integration conditions, nationality.
Typical documents
- Passport copies for all applicants
- Birth and marriage certificates, legalised or apostilled with sworn translations where required
- Criminal record extracts for each country of residence
- Lease or title deed for Luxembourg accommodation
- Proof of comprehensive health insurance
- Bank and investment statements evidencing stable resources
- Business plan, company documents and business authorisation (self-employed route)
- Curriculum vitae and evidence of professional qualifications
- Source-of-wealth documentation to support banking onboarding
How Legal Wealth helps
Legal Wealth treats a Luxembourg move as a compliance and wealth-planning exercise rather than a filing. We help you choose the immigration route that will remain sound after the investor permit repeal, coordinate business set-up, banking and source-of-wealth evidence, and work with Luxembourg-qualified counsel and tax advisers so your residence, holding structures and succession arrangements are aligned. Every engagement is handled discreetly, with documents shared only on a need-to-know basis.
Enquire with Legal WealthFrequently asked questions
Can I still apply for Luxembourg's investor residence permit?
It should not be relied on. Bill 8586, adopted by the Chamber of Deputies on 14 October 2026, repeals the investor permit provisions. Until the law is formally published, new filings are inadvisable, and most clients are better served by the self-employed or private-means routes.
What happens to people who already hold an investor permit?
The adopted bill text does not contain a specific transitional rule for issued permits. Holders should seek advice before renewal; in many cases switching to a self-employed or private-reasons permit will be the most robust option.
Is there a minimum investment for the self-employed route?
No fixed amount is set in law. The authorities assess whether the business is viable, adequately funded and of economic interest to Luxembourg, together with the applicant's personal resources.
Does Luxembourg offer a special tax regime for new residents?
There is no lump-sum or non-dom regime. The impatriate regime, revised from 2025, exempts 50% of qualifying salary up to EUR 400,000 for up to eight years for eligible highly skilled employees. Investment income is otherwise taxed under ordinary rules.
When can I apply for permanent status or citizenship?
Long-term resident status is available after five years of lawful, uninterrupted residence. Naturalisation generally requires five years of residence, a Luxembourgish language test and a civic course; dual nationality is permitted.
Can my family join me?
Yes. Spouses or registered partners and minor children can apply through family reunification, subject to resources, accommodation and health insurance conditions.
Last reviewed: 2026-10. Requirements, fees and timelines change. Information is general, reviewed on the date shown, and is not legal or tax advice.
