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On top of the purchase price, buyers pay registration duties, transcription tax and notary fees. The Bëllegen Akt tax credit of up to EUR 40,000 per buyer can wipe out most of these costs for a main residence.
Buying property in Luxembourg involves acquisition costs on top of the price: registration duties, transcription tax and notary fees. Fortunately, the State offers a powerful tax credit, the Bëllegen Akt, which sharply reduces the bill for your main residence.
| Item | Indicative amount |
|---|---|
| Registration duty | 6% of the property price |
| Transcription tax | 1% of the property price |
| Municipal surcharge | Applies in Luxembourg City (surcharge on the registration duty) |
| Notary fees and charges | Roughly 1 to 1.5% depending on the price (regulated tariff) |
For an off-plan purchase (VEFA), duties are in principle charged only on the share of the land and constructions existing at the time of the deed; the part still to be built is subject to VAT.
The tax credit on notarial deeds, known as the Bëllegen Akt, is set directly against the registration and transcription duties when you buy a home intended as your main and permanent residence. Standard allowance is up to EUR 30,000 per buyer (EUR 60,000 for a couple), though temporary measures under the 2024 housing package increased this cap to EUR 40,000 per buyer for purchases completed within that period. In practice, most first-time buyers pay little or no duty. Any unused balance remains available for a later purchase. In return, you must occupy the home within the legal deadlines and for a minimum period, otherwise the credit can be clawed back.
Tip: the Bëllegen Akt conditions (amounts, occupancy deadlines, rules for investors) have evolved through legislative packages. Check the official page before signing the compromis.
