Cross-border commuters hoping for more generous telework rules will have to wait: the 8th Franco-Luxembourg Inter-Governmental Commission, held on 11 December, ended without agreement on raising the 34-day tax-free telework threshold. Luxembourg reiterated its opposition to revenue-sharing mechanisms, while the French delegation cited budget constraints.
More than 120,000 French residents work in the Grand Duchy, many in finance and ICT roles well suited to remote work.
For cross-border staff who may ultimately need to formalise longer stays on either side of the frontier, VisaHQ can simplify the visa or residence-permit paperwork. Its dedicated France portal (https://www.visahq.com/france/) offers clear checklists and online processing, easing compliance burdens for employees and HR teams alike while governments debate new tax thresholds.
![No progress on France–Luxembourg telework quota as intergovernmental talks stall]()
During the pandemic they teleworked from home for up to 50 % of working days under temporary waivers, but since 2023 have been limited to 34 days per year before triggering French income tax liability. Unions and employers alike favour at least one remote day per week—equivalent to 50 days—but political momentum has stalled.
For employers the status quo means continued payroll complexity: HR must track days spent physically in Luxembourg, issue annual certificates, and adjust withholding if the threshold is breached. Employees risk double taxation if they mis-count, while social-security alignment remains capped at 40 % remote work under a separate EU accord.
Negotiations will resume in April 2026, but observers are sceptical. In the meantime, assignment policies should emphasise on-site presence or consider contractual relocation to France for staff who insist on higher telework ratios.
More than 120,000 French residents work in the Grand Duchy, many in finance and ICT roles well suited to remote work.
For cross-border staff who may ultimately need to formalise longer stays on either side of the frontier, VisaHQ can simplify the visa or residence-permit paperwork. Its dedicated France portal (https://www.visahq.com/france/) offers clear checklists and online processing, easing compliance burdens for employees and HR teams alike while governments debate new tax thresholds.
During the pandemic they teleworked from home for up to 50 % of working days under temporary waivers, but since 2023 have been limited to 34 days per year before triggering French income tax liability. Unions and employers alike favour at least one remote day per week—equivalent to 50 days—but political momentum has stalled.
For employers the status quo means continued payroll complexity: HR must track days spent physically in Luxembourg, issue annual certificates, and adjust withholding if the threshold is breached. Employees risk double taxation if they mis-count, while social-security alignment remains capped at 40 % remote work under a separate EU accord.
Negotiations will resume in April 2026, but observers are sceptical. In the meantime, assignment policies should emphasise on-site presence or consider contractual relocation to France for staff who insist on higher telework ratios.
