What to Do After You Get Your Business Permit in Luxembourg

Your business permit (autorisation d'etablissement) has just arrived. What next? In Luxembourg, three public bodies need to know you are now self-employed: CCSS (social security), AED (VAT), and ACD (income tax). Two require active declarations from you; one is handled mostly behind the scenes.

Step 1: Affiliate with CCSS (within 8 days)

CCSS (Centre commun de la securite sociale) handles health insurance, pension, accident, dependency, and mutual insurance. Self-employed people pay both the employer and the employee share.

What to do:

• Submit the "declaration of entry for self-employed workers" (declaration d'entree)
• If you applied for your business permit via MyGuichet LU, a pre-filled form is automatically generated in your professional eSpace — review and submit it
• Otherwise, download the form from ccss.public.lu and send it by post

What happens next: Within about a week, CCSS sends you a confirmation letter by post with your 13-digit national ID number (matricule) and confirms your health insurance fund (usually CNS). Your first monthly invoice follows shortly after.

For the full picture of contributions and how they are calculated, see CCSS for self-employed in Luxembourg.

Step 2: Register for VAT with AED (within 15 days)

AED (Administration de l'Enregistrement, des Domaines et de la TVA) handles VAT. Registration is not automatic when your business permit is issued.

When is VAT registration mandatory?

• Domestic turnover expected over 50,000 EUR — mandatory
• Cross-border B2B services (buying or selling services under the reverse-charge regime) — mandatory from the first euro, regardless of turnover
• Intra-EU acquisitions of goods — mandatory once cumulative acquisitions exceed 10,000 EUR per calendar year (the PBRD threshold); below that, no VAT registration obligation from acquisitions alone
• Below 50,000 EUR domestic only, with no cross-border triggers — optional, but often useful if clients are businesses or if you have significant input VAT to reclaim

What to do:

• File the initial declaration (declaration initiale) online via MyGuichet.lu or by post
• Information required: identity, business address, IBAN + BIC, activity start date, estimated annual turnover
• Processing typically takes a few weeks in practice (no official published figure); you receive a Luxembourg VAT number in the format LU followed by 8 digits

For when VAT applies and which regime fits you, see what taxes do self-employed pay in Luxembourg and 100,000 EUR EU VAT franchise for small business.

Step 3: Income tax (ACD) — usually opened on the back of your permit

ACD (Administration des Contributions Directes) is notified through your business permit and CCSS affiliation, and in most cases opens your tax file on the back of these. But it is not guaranteed — verify your file is active and register via the dedicated ACD procedure if it isn't.

What happens:

• A tax file is created under your national ID matricule
• You file your annual income tax return — Form 100 (main personal return) plus Form 110 annex (commercial/craft profit) or Form 152 annex (receipts-minus-expenses method, common for liberal professions) — by 31 December of the year following the tax year
• ACD may issue quarterly advance payment bulletins (bulletins d'avance) once you have a first income history

Step 4: Open a business bank account

For sole traders, a dedicated business bank account is not legally required — you can use your personal account. But it is strongly recommended:

• Keeps business and personal finances clearly separate (easier bookkeeping, cleaner tax return)
• Required by some banks if you exceed certain turnover or want a business card, lines of credit, payment terminals
• Signals professionalism to clients and suppliers

Step 5: Activity-specific registrations

Depending on what you do, additional steps may apply:

• HORECA: food safety declaration to ALVA (Administration luxembourgeoise veterinaire et alimentaire), alcohol licence if you sell alcohol — see HORECA business permit
• Real estate agent: professional liability insurance (mandatory), registration with the real estate professional body — see real estate business permit
• Transport: licence communautaire (Community licence), vehicle authorisation, financial guarantee — see transport business permit
• Architect / consulting engineer: mandatory registration with OAI (Ordre des Architectes et Ingenieurs-Conseils)
• Accountant: OEC (Ordre des Experts-Comptables) registration — see liberal professions business permit
• Crafts: Chambre des Metiers registration — see craft activities and qualifications

Professional liability insurance

Professional liability insurance (assurance responsabilite civile professionnelle) is mandatory for some activities (real estate agents, architects, doctors, lawyers) and strongly recommended for most others. It protects you if a client sues over a mistake in your work. Premiums vary from a few hundred euros a year for low-risk consulting to several thousand for high-risk professions.

Timeline at a glance

Quick reference

For more on the big picture, see how long does it take to set up as self-employed in Luxembourg.

You didn't start a business because the paperwork sounded fun. We get it — and we say bravo for doing it anyway.
🙌💜 Your BravoLisa Team

This article is for general information purposes only and does not constitute professional tax, legal, or accounting advice. Every situation is different — consult a qualified professional (tax adviser, accountant, or lawyer) for advice specific to your circumstances. BravoLisa does not accept liability for decisions made based on this information.

Last updated: April 2026. Rates and thresholds may change — always verify with the relevant authorities for the most current figures.

Updated on: 23/04/2026