The Luxembourg Administration of Direct Taxes has issued Circular PRE_IMM n° 1 of 20 January 2022, providing guidance on the "real estate levy" that was introduced as part of Law of 19 December 2020 concerning the Budget for 2021. The 20% levy applies from 2021 on income from real estate situated in Luxembourg held directly or indirectly by investment vehicles with a legal personality distinct from those of its partners, including undertakings for collective investment (UCI), specialized inv…