Cross-Border Workers Decry “Unfair” Tax Hikes Under New Franco-Luxembourg Treaty

The implementation of the new Franco-Luxembourg tax treaty has left many cross-border workers frustrated and financially strained. Several taxpayers from France, who work in Luxembourg but have spouses employed in France, are now facing unexpected tax hikes.

Solange, a 61-year-old resident of Thionville employed in Luxembourg’s heating and sanitary sector, said she was shocked by an additional €900 in taxes this year. “It’s unfair and incomprehensible,” she said, adding that despite the setback, she intends to finish her career in Luxembourg, where she has worked for nearly 35 years.

Cyril, another Thionville resident working in Luxembourg’s financial sector, reported a tax increase of €1,400. He called the new system “scandalous,” arguing that cross-border couples where both partners work in Luxembourg are not being taxed similarly. His partner, who works in France, is now considering seeking employment in Luxembourg to avoid this “extra taxation.”

According to tax expert Séverine Bergé of Neofisc, the average tax increase for affected cross-border workers ranges between €600 and €800. “There is a strong feeling of injustice, but also resignation among clients,” she said. “Many ask us to recheck their declarations and confirm if the results are accurate.”

The new tax treaty, enforced this year after several years of delay, has led some workers to reconsider their daily commutes and overall work-life balance. “Some are questioning whether it’s still worth spending three hours a day on the road to Luxembourg,” Bergé added. “We’re increasingly being asked for simulations involving more telework or reduced hours. A sense of fatigue and frustration is clearly setting in.

Read More : Contribuables frontaliers: Une hausse d'impôts jugée injuste et incompréhensible - L'essentiel

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