Luxembourg Looking to Enhance Fiscal Sustainability, Incentivize Continued Employment, and Promote Energy-Efficient Housing

The Luxembourg government has introduced a legislative proposal in the Chamber of Deputies aimed at enhancing fiscal sustainability, incentivizing continued employment, and promoting energy-efficient housing. The main measure is the creation of a new tax deduction, the Abattement de Maintien dans la Vie Professionnelle (AMVP), which provides an annual deduction of up to EUR 9,000 for individuals who remain professionally active despite being eligible for a pension. This measure is designed t…