Since the beginning of the pandemic linked to COVID-19, Luxembourg and its neighbouring countries have taken a series of measures to neutralize the tax and social security implications in relation with the homeworking of Belgian, French and German frontier workers.

Planned until August 31, 2020, these exceptional measures have recently been extended.

• Derogation – tax tolerance threshold
  The homeworking days imposed to frontier workers in the framework of the COVID-19 crisis constitute a force majeure event and are not to be included in the calculation of the tolerance threshold:

• Derogation – social security threshold
  The agreement according to which homeworking periods related to COVID-19 should not be taken into consideration for the determination of the social security legislation applicable to the workers concerned (25% threshold) has been extended by Luxembourg and its neighbouring countries until December 31, 2020.
  This means that there is no impact on the current applicable social security regime and no particular formalities to be fulfilled (A1 certificate).