As announced in one of our April newsletters, the CIC will be applied to Luxembourg salaries from July 2023, retroactively from January. It will end on December 31, 2023. On January 1, 2024, the new adapted tax scale will be applicable, and the CIC will no longer have any reason to continue, as it was introduced pending the rescheduling of tax brackets.

In concrete terms, net salaries in July will therefore be exceptionally higher than in previous months, as the CIC adjustment for January to June will be applied on the July’s pay slip. This tax credit will then appear each month on the pay slips and will be calculated on the basis of the gross monthly salary.

Please do not hesitate to contact us if you have any questions: In Extenso Belux.