Luxembourg office real estate: Court of Appeal rules that VAT liabilities follow the building

A recent Luxembourg Court of Appeal decision provides significant clarity on how Value Added Tax (VAT) debt is handled in real estate transactions, particularly during corporate restructurings. This ruling, involving a prominent real estate developer, confirms that VAT obligations arising from property use remain tied to the physical building itself, rather than the initial holding company, offering crucial insights for businesses involved in commercial property rentals and development.