Increase of Accounting Thresholds
- Articles and memoranda
- Posted 14.11.2024
The Luxembourg government has adopted the Grand-Ducal Regulation of 25 October 2024 updating the accounting size criteria for Luxembourg companies.
Why?
This update has been decided at a European level by the adoption of the Commission Delegated Directive (EU) 2023/2775 of 17 October 2023. It aims to reflect the inflation rates from the past two years.
What is changing?
The criteria for balance sheet and net turnover have been increased as follows:
| Balance Sheet Total | Net Turnover | |
|---|---|---|
| Small undertakings |
7,500,000 EUR |
15,000,000 EUR |
| Medium-size undertakings/groups |
25,000,000 EUR |
50,000,000 EUR |
This update will allow certain companies to move from a higher to a lower category and to benefit, among other consequences, from the ability to establish abridged balance sheet, abridged profit and loss statement and/or abridged annex and/or an exemption to prepare a management report and/or consolidated accounts.
When?
These new thresholds are applicable to the financial year starting on 1 January 2023.
