How to determine if you need to declare RSUs in Luxembourg?

RSUs (Restricted Stock Units) are share units granted under certain conditions, often as part of a deferred compensation plan for employees or executives. They are taxable in Luxembourg at the time the shares are definitively acquired (vesting), not when they are granted.

RSUs become taxable when:

• They are definitively acquired (vested),
• The beneficiary has full control over the shares,
• Their value can be determined (stock market price on the vesting date).

💡 Even if the shares are not sold, the value of the RSUs at the vesting date is considered taxable employment income.

Where to declare them in the tax return?

• In principle, RSUs should be included under the category of employment income (as they usually appear on the Luxembourg salary certificate).
• If they are not listed on the Luxembourg salary certificate, they must be declared manually, with supporting documents (such as an employer certificate, plan statement, etc.).

Updated on: 16/07/2025