Draft Law Transposing the European Directive on the Automatic Exchange of Information submitted to Parliament

The draft Luxembourg law to transpose Council Directive 2014/107/EU (of 9 December 2014, which amends Directive 2011/16/EU in relation to the mandatory automatic exchange of information in the field of taxation and which approved the Multilateral Competent Authority Agreement signed on 29 October 2014) was submitted to Parliament on 14 August 2015. 

The Directive extends the automatic exchange of information to (i) interest, dividend and other income; (ii) gross proceeds from the sale or redemption of financial assets; and (iii) account balances.

Read the draft law in full (in French).

Version 9 of AIFM FAQ Published by the CSSF

The Luxembourg regulator (the CSSF) published version 9 of its FAQ document concerning the Law of 12 July 2013 on alternative investment fund managers (AIFM) and the Commission Delegated Regulation (EU) n° 231/2013, updating or adding to sections relating to:

• Status of a credit institution or an investment firm under the Law of 1993.
• Professional depositaries of assets other than financial instruments.
• Reporting by non-EU AIFM to the CSSF.
• Reporting in case of a non-EU master AIF.
• Initial capital and own funds requirements applicable to AIFMs.
• Definition of marketing and reverse solicitation.
   

Read the FAQ document in full. 

Grand-ducal AML Regulation of 5 August 2015

A Grand-ducal Regulation was published in the Memorial A-156 on 10 August 2015. It modifies the Grand-ducal Regulation of 1 February 2010 providing details on certain provisions of the AML law and completes provisions relating to simplified due diligence obligations towards clients as regards online payment services or electronic currency.

The CSSF published a consolidated text of Grand-ducal Regulation of 1 February 2010 further to this modification.

Read the consolidated text of the Regulation in full.

Publication of the Draft Law Transposing UCITS 5

The draft law to transpose Directive 2014/91/EU of the European Parliament and of the Council of 23 July 2014 and amending Directive 2009/65/EC on the coordination of laws, regulations and administrative provisions relating to undertakings for collective investment in transferable securities as regards depositary functions, remuneration policies and sanctions (UCITS 5) was submitted to Parliament on 5 August 2015. Member States must transpose UCITS 5 by 18 March 2016 at the latest. The Law and the Directive will be further supplemented by a Commission Delegated Act on depositaries which is expected by the end of 2015 or early 2016.

In this context the depositary regime of funds established pursuant to part 2 of the Law of 17 December 2010 will be aligned.

Read the draft law in full (in French). 

FATCA Law Enters into Force and Tax Authorities Publish Guidance

The Luxembourg law on FATCA was published in the Memorial (official gazette) No 149 on 29 July 2015 and entered into force three days later. The law ratifies the execution of the Intergovernmental Agreement (IGA) signed between Luxembourg and the USA on 28 March 2014 and its related appendices and the Memorandum of Understanding (MoU).

Read the FATCA law in full (in French). 

The Luxembourg Tax Authorities published two Circulars ECHA 2 and ECHA 3 providing additional guidance on the implementation of the law and on the structure of reporting files.

Read Circular ECHA 2 (in French).

Read Circular ECHA 3 (in French).