Investors unsure if investment losses can offset capital gains tax

A Luxembourg tribunal decision barring a local company from using investment losses to write off capital gains taxes imposed on a real-estate transaction has caused worry in some corners of Luxembourg’s investment world. Using losses to cut income tax due is a well-established practice. However, a legal analysis by ATOZ, the law firm that alerted many to the 30 March 2023 court decision, says the decision is unlikely to survive an appeal.