Marshall Islands vs Luxembourg
Corporate Tax Comparison
Time of Update: Marshall Islands: 4/06/2026 / Luxembourg: 4/05/2026
Compare Marshall Islands and Luxembourg corporate tax rates, filing due dates, withholding tax, VAT, capital gains tax, and effective tax metrics for cross-border company planning.
Marshall Islands vs Luxembourg Corporate Tax Comparison
Basic Corporate Tax Comparison
Corporate Income Tax (CIT)
Marshall Islands
Luxembourg
General CIT Rate:
Within 10,000 US dollars, a corporate income tax of 80 US dollars is collected. Any excess amount is subject to a 3% tax. However, Non-resident companies not conducting business within the Marshall Islands are exempt from corporate income tax. This makes the jurisdiction attractive for offshore business activities as they do not have to pay taxes on income earned outside the Marshall Islands. https://internationalwealth.info/en/offshore-taxes/everything-you-need-to-know-about-the-tax-system-in-the-marshall-islands/
General CIT Rate:
23.87% (CIT, solidarity surtax, and municipal business tax [Luxembourg City, from tax year 2025])
CIT Return Due Date:
N/A for non resident companies
CIT Return Due Date:
December 31 of the following year.
CIT Payment Due Date:
N/A for non resident companies
CIT Payment Due Date:
At the end of the month following the receipt of the tax assessment receipt.
CIT Estimated Payment Due Date:
N/A for non resident companies
CIT Estimated Payment Due Date:
Quarterly installment payment.
Withholding Tax (WHT)
Marshall Islands
Luxembourg
Resident Withholding Tax (Dividend/Interest/Royalty):
0%
Resident Withholding Tax (Dividend/Interest/Royalty):
15/0/0
None-Resident Withholding Tax (Dividend/Interest/Royalty):
0%
None-Resident Withholding Tax (Dividend/Interest/Royalty):
15/0/0
Value-Added Tax (VAT)
Capital Gain Tax (CGT)
Marshall Islands
Luxembourg
General Capital Gain Tax Rate:
0%
General Capital Gain Tax Rate:
Capital gains are subject to the normal corporate income tax rate constraint.
Effective Tax Rate (ETR)
Marshall Islands
Luxembourg
Composite Effective Average Tax Rate:
Composite Effective Average Tax Rate:
23.24%
Composite Effective Marginal Tax Rate:
Composite Effective Marginal Tax Rate:
18.09%
