Luxembourg strict on supplier data

Luxembourg: strict on the details

Luxembourg is known as one of the strictest EU countries when it comes to assessing foreign VAT refund applications under the 8th Directive. While other countries sometimes allow minor imperfections in a file, the Luxembourg tax authority (Administration de l'Enregistrement, des Domaines et de la TVA, or AED for short) applies rigorous scrutiny to the data submitted.

In practice, an incorrect address, a missing detail or a supplier name that does not exactly match the registration almost always leads to rejection of the application.

Which data must match exactly?

When submitting a VAT refund application for Luxembourg, supplier details are entered manually or automatically for each invoice. The AED then compares this data against the information registered in the Luxembourg VAT administration.

The following details must exactly match what appears on the invoice and what is registered with the AED:

• The full name of the supplier, including legal form (for example S.à r.l. or S.A.)
• The full address of the supplier, including street name, house number, postcode and city
• The Luxembourg VAT number of the supplier

A common pitfall is that the address on the invoice differs from the address registered with the AED. This can occur when a supplier has moved but has not yet updated their invoice details, or when a typing error is made during data entry. Even a different spelling of the company name, such as a missing hyphen or an abbreviation, can be sufficient grounds for rejection.

The AED compares data strictly and generally does not offer the opportunity to correct discrepancies before rejecting the application. A rejection means you must resubmit, with the risk that the deadline has since passed.

Toll charges and fuel in Luxembourg

Luxembourg is also a frequently used transit country for international transport. Toll charges and fuel costs are reclaimable in Luxembourg, provided the invoices meet the requirements. The standard VAT rate in Luxembourg is 17%, the lowest in the EU.

How do you prevent rejection?

The best way to prevent rejections is to check the supplier details on every invoice before submission:

• Check that the supplier name exactly matches the registration, including legal form and any special characters
• Check each invoice individually, even within the same application. Supplier details such as addresses can change during a period due to a relocation or name change. What was correct on an invoice from January may no longer match the AED registration on an invoice from September
• When in doubt, contact the supplier to confirm the correct details before submitting

Let professionals guide you

Delta Refund Solutions checks your Luxembourg invoices before submission for completeness and accuracy of supplier data. This prevents unnecessary rejections and delays in your VAT refund.

Feel free to contact us, we are happy to help.