To boost supply in the housing market, the government has decided to extend the tax benefits on the real estate gain by one year. Real estate gains realized by individuals after the sale of land or property held for more than two years will continue, until the end of 2018, to be taxed at only one-quarter of the global rate applied during the year. income tax, which is 10.5% maximum (compared to 42% usually). While this measure, instituted in 2016 was to end at the end of 2017, the government has decided to extend the initiative by one year. A gesture to liberate a most tense housing market. Some 3 500 housing units are built each year in Luxembourg when it is necessary to double it, according to the Habitat Observatory. The extension of the tax relief is therefore intended to encourage private landowners to sell their land: 92% of the 2,719 hectares available today are privately owned.

(L’essentiel)