The end of mandate of a company manager
The mandate of a company manager can end in different ways, such as:
- the end of their mandate;
- their resignation;
- their dismissal by the company, their death, etc.
Certain formalities must be respected to ensure that the termination of the manager's functions have legal effect.
Any commercial company whose business manager, director or administrator leaves their functions must carry out a number of administrative procedures and formalities with regard to:
- social security;
- business permit;
- registration with the Trade and Companies Register.
Who is concerned
Each commercial company whose business manager/director leaves the company must report this to the various bodies where it is affiliated or registered.
Depending on the reasons for the termination, these procedures must be undertaken by the persons authorised to act on behalf of the company in the event of the manager/administrator's departure.
The resigning manager must undertake certain procedures in person.
Deadlines
The manager of a company being personally liable for VAT (for example: the administrator) must declare the cessation of their activity within 15 days of the effective cessation.
The Minister of the Economy, responsible for business permits, must be informed within one month of the departure of the manager concerned.
The manager must send the original version of the business permit to the General Directorate for Small and Medium-Sized Enterprises at the Ministry of the Economy, together with:
- the cessation form;
- a copy of their identity card or passport;
- the reason for the cessation.
The deregistration of the salaried manager from the social security must be carried out within 8 days of the end of the contract, either by the company or the insured themself.
Costs
Only the registration/lodging/publication procedure with the RCS requires the payment of a fee.
These costs are laid down in the RCS table of tariffs and depend on the legal forms of the business and on the type of deed.
How to proceed
The terms of cessation of activity
When the manager's mandate expires, there is no longer any obligation of mutual information between the manager and the company.
If the manager was appointed by the general meeting of partners/shareholders, they must also be removed by said meeting.
If the manager is designated in the articles of association, their removal must follow the rules of the amendment of the articles of association and therefore requires a unanimity vote.
However, their removal can be requested by any partner for a legitimate reason in the case of:
- limited liability companies (société à responsabilité limitée - SARL);
- partnerships (société en nom collectif - SENC);
- limited partnerships (société en commandite simple - SCS).
This however implies the existence of an incompatibility between the manager's continuation of activity and the interests of the company.
In public limited companies (société anonyme - SA), managers can be freely removed by the general meeting.
The manager, as an acting representative, can freely resign without having to provide an explanation. In this case, they must simply notify the company of their decision.
Their resignation will enter into effect once the company has received it. The resignation cannot be retroactive. Once the company has released the manager from their mandate, the manager is no longer under any obligation towards the company.
If the manager is also bound to the company by an employment contract, their resignation follows the rules of labour law.
If the manager's resignation causes an irregularity in the composition of the company's management body, the resignation will not become effective until a replacement person has been found.
The cessation of the manager's activity is only binding on third parties after publication in the RCS.
The business permit
If the company's business permit states the resigning manager as the holder of the permit, the Minister must be informed. Each change of business manager is then subject to a new permit.
A provisional permit, valid for a maximum of 6 months, may be granted in order to allow the appointment of a new business manager. The provisional permit can be renewed once, for a maximum duration of 6 months.
The law provides for various possibilities of temporary or definitive transfer of the business permit to family members or coworkers, if the business manager of a commercial or craft business:
- dies;
- is the victim of an occupational disability;
- has a duly recognised inability to work;
- retires.
Deregistration from social security
Depending on their status, the manager must be deregistered from the Joint Social Security Centre by way of:
- a discharge notice for self-employed workers; or
- a discharge notice for employees.
A notice of discharge from employment (declaration of end of employment) must be duly filled in, dated and signed by the person(s) authorised to act on behalf of the company.
The declarant will receive an acknowledgment of receipt for verification purposes.
Declaration of cessation with the Registration Duties, Estates and VAT Authority
A business manager who is subject to VAT (for example: an administrator) and who ceases the activity for which they are VAT registered, must declare the cessation of activity to the tax office of the Registration Duties, Estates and VAT Authority (AED) with which they were registered.
Within 2 months of the cessation, the VAT return (annual or summary) must be filed and any excess tax must be paid.
A taxable person who ceases their activity as a business manager but who continues to be registered for VAT because of other professional activities, must declare their partial cessation of activity to the tax office where they are registered within 15 days.
Modification of registrations with the Trade and Companies Register (RCS)
Each company, regardless of their legal form, must register the changes concerning the company with the RCS.
Forms / Online services
Application for termination of activity
Demande de cessation d'activité (Annulation d'autorisation d'établissement)
Antrag auf Einstellung der Tätigkeit
Déclaration de sortie
Déclaration de cessation - TVA
Dépôt électronique auprès du RCS
Démarche en ligne
Who to contact
-
Ministry of the Economy
General Directorate for Small and Medium-Sized Enterprises (Department for Authorisations of Establishment)
Postal address :
B.P. 535 / L-2937 Luxembourg
Phone : (+352) 247-74 700The telephone helpline is open Monday to Friday, from 9.00 to 12.00 and 13.00 to 17.00 (not on public holidays).
-
Joint Social Security Centre4, rue Mercier
L-2144 Luxembourg
Luxembourg
Postal address :
L-2975 Luxembourg
Phone : (+352) 40141-108.00 - 16.00
-
Registration Duties, Estates and VAT Authority
Registration Duties, Estates and VAT Authority1-3, avenue Guillaume
L-1651 Luxembourg
Luxembourg
Postal address :
B.P. 31, L-2010 Luxembourg
Phone : (+352) 247-80800Fax : (+352) 247-90400
-
Luxembourg Business Registers
-
Luxembourg Business Registers - Luxembourg Office14, rue Erasme
L-1468 Luxembourg-Kirchberg
Luxembourg
Postal address :
L-2961 Luxembourg
Phone : (+352) 26 428-1Fax : (+352) 26 42 85 55Monday to Friday from 09.00 - 12.00 and 13.30 - 16.00
Registration helpdesk: Monday to Friday by appointment only -
Luxembourg Business Registers - Diekirch OfficePlace Joseph Bech
L-9211 Diekirch
Luxembourg
Phone : (+352) 26 428-1Fax : (+352) 26 42 85 55Mondays, by appointment only
-
Chamber of Commerce
Chamber of Commerce7, rue Alcide de Gasperi
L-2981 Luxembourg
Luxembourg
Phone : (+352) 42 39 39-1Fax : (+ 352) 43 83 2608.00 - 12.00 and 14.00 - 18.00
-
Chamber of Skilled Trades and Crafts2, Circuit de la Foire Internationale
L-1016 Luxembourg
Luxembourg
Postal address :
B.P. 1604
Phone : (+352) 42 67 67 - 1Fax : (+352) 42 67 87 -
Chamber of Skilled Trades and Crafts – Companies Exchange2, Circuit de la Foire Internationale
L-1347 Luxembourg
Luxembourg
Postal address :
B.P. 1604 / L-1016
Phone : (+352) 42 67 67 - 1Fax : (+352) 42 67 87 -
'Contact Entreprise' at the Chamber of Skilled Trades and Crafts - Luxembourg2, Circuit de la foire internationale
L-1347 Luxembourg-Kirchberg
Luxembourg
Postal address :
B.P. 1604 / L-1016
-
Enterprise Europe Network2, Circuit de la foire internationale
L-1347 Luxembourg-Kirchberg
Luxembourg
Postal address :
B.P. 1604 / L-1016
Phone : (+352 ) 42 67 67-366Fax : (+352) 42 67 87 -
Chamber of Skilled Trades and Crafts - SME packages2, Circuit de la Foire Internationale
L-1347 Luxembourg
Luxembourg
-
eHandwierk services at the Chamber of Skilled Trades and Crafts2, Circuit de la foire internationale
L-1347 Luxembourg-Kirchberg
Luxembourg
Postal address :
B.P. 1604 / L-1016
-
Ministry of the Economy19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914
Phone : (+352) 2478-2478Fax : (+352) 46 04 48 -
Ministry of the Economy - Economic Committee19-21, boulevard Royal
L-2914 Luxembourg
Luxembourg
Phone : (+352) 247-84707Fax : (+352) 46 04 48 -
General Directorate for Small and Medium-Sized Enterprises19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2937 Luxembourg
Phone : contact the relevant service -
General Directorate for Small and Medium-Sized Enterprises (Internal Market and Consumption Directorate)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2937 Luxembourg
Phone : (+352) 247-84361Fax : (+352) 221607 -
General Directorate for Small and Medium-Sized Enterprises (Department for Support to SMEs)
L-2914 Luxembourg
Luxembourg
Postal address :
B. P. 535, L-2937 Luxembourg
Phone : (+352) 247-74704 -
General Directorate for Small and Medium-Sized Enterprises (Department for Authorisations of Establishment)
Postal address :
B.P. 535 / L-2937 Luxembourg
Phone : (+352) 247-74 700The telephone helpline is open Monday to Friday, from 9.00 to 12.00 and 13.00 to 17.00 (not on public holidays). -
General Directorate for Small and Medium-Sized Enterprises (SME Policy)
B.P. 535 - L-2937 Luxembourg
Luxembourg
Postal address :
L-2937 Luxembourg
Phone : (+352) 247 74703 (Secretariat) -
General Directorate for Small and Medium-Sized Enterprises (Commercial Practices Department)
B.P. 535 - L-2937 Luxembourg
Luxembourg
Postal address :
L-2937 Luxembourg
Phone : (+352) 247-74703 -
General Directorate for Small and Medium-Sized Enterprises (Package Travel)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2937 Luxembourg
Phone : (+352) 247-74700 -
General Directorate - Tourism (classification of hotels and camp sites)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
BP 86, L-2937
Phone : (+352) 247-84749Fax : (+352) 47 40 11 -
General Directorate - Tourism (subsidies for congress tourism)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
BP 86, L-2937
Phone : (+352) 247 74152Fax : (+352) 47 40 11 -
General Directorate - Tourism (financial aid for camp sites and gîtes / the hotel industry / tourism infrastructures / EureWelcome label)19 - 21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
BP 86, L-2937
Phone : (+352) 247-84751Fax : (+352) 47 40 11(+352) 247-84751 dany.duarte@eco.etat.lu Path to General Directorate - Tourism (financial aid for camp sites and gîtes / the hotel industry / tourism infrastructures / EureWelcome label) More information on General Directorate - Tourism (financial aid for camp sites and gîtes / the hotel industry / tourism infrastructures / EureWelcome label) -
General Directorate - Tourism (Bed&Bike label / accommodation forms)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
BP 86, L-2937
Fax : (+352) 47 40 11 -
General Directorate - Tourism (quality tourism label)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
BP 86, L-2937
Phone : (+352) 247-84755Fax : (+352) 47 40 11 -
General Directorate for Competitiveness and the Internal Market19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914
Phone : (+352) 247-84210Fax : (+352) 26864518 -
Directorate General – Foreign Trade and Investment Promotion19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914 Luxembourg
Phone : (+352) 247-84137Fax : (+352) 22 34 85 -
General Directorate for the Promotion of Foreign Trade and Investments (Office for Export, Import and Transit Controls - formerly the Licensing Office)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
BP 113 / L-2011 Luxembourg
Phone : (+352) 22 61 62Fax : (+352) 46 61 38(+352) 22 61 62 oceit@eco.etat.lu Path to General Directorate for the Promotion of Foreign Trade and Investments (Office for Export, Import and Transit Controls - formerly the Licensing Office) More information on General Directorate for the Promotion of Foreign Trade and Investments (Office for Export, Import and Transit Controls - formerly the Licensing Office) -
Energy Directorate19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914
Phone : (+352) 247-82478Fax : (+352) 46 04 48 -
General Directorate for Industry, new Technology and Research19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914
Phone : (+352) 247-84128 -
General Directorate - Industry, New Technologies and Research (Financing and State Aid)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914 Luxembourg
Phone : (+352) 247-84162 -
General Directorate for Industry, new Technology and Research (SME Industry)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914 Luxembourg
Phone : (+352) 247-84140 -
General Directorate for Industry, new Technology and Research (Environment projects)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914
-
Office for Intellectual Property - Ministry of the Economy19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914
Phone : (+352) 247-84113Fax : (+352) 247-94113 -
Voting office (Elections for the Chamber of Commerce)
-
General Directorate - Tourism (Financial aid and Accounting)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
B.P. 86 L-2937 Luxembourg
-
Reception desk of the General Directorate for Small and Medium-Sized Enterprises at the 'House of Entrepreneurship'14, rue Erasme
L-1468 Luxembourg
Luxembourg
Opening hours: by appointment only on Wednesdays from 9.00 to 12.30 -
General Directorate for Small and Medium-Sized Enterprises (Department for State Aid)19-21 boulevard Royal
L-2449 Luxembourg
Luxembourg
-
Ministry of the Economy - COVID 19 repayable advance application
L-2937 Luxembourg
Luxembourg
-
General Directorate for Small and Medium-Sized Enterprises (Department for Authorisations of Establishment) – reception desk at the House of Entrepreneurship14, rue Erasme
L-1468 Luxembourg-Kirchberg
Luxembourg
Opening hours: Monday to Friday from 9.00 to 12.30 and from 13.30 to 17.00
The reception desk is only accessible by prior appointment.
Book an appointment online via MyGuichet.lu by clicking on the following icon:
Path to General Directorate for Small and Medium-Sized Enterprises (Department for Authorisations of Establishment) – reception desk at the House of Entrepreneurship More information on General Directorate for Small and Medium-Sized Enterprises (Department for Authorisations of Establishment) – reception desk at the House of Entrepreneurship -
Ministry of the Economy - Investment aid COVID 19
L-2937 Luxembourg
Luxembourg
-
General Directorate for Small and Medium-Sized Enterprises
B. P. 535 / L-2914 Luxembourg
Luxembourg
Postal address :
L-2937 Luxembourg
Phone : (+352) 247-74700 -
General Directorate - Tourism (Restart Tourism)19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
BP 86, L-2937
-
Secretariat of the interministerial committee on investment screening19-21, boulevard Royal
L-2449 Luxembourg
Luxembourg
Postal address :
L-2914 Luxembourg
Phone : (+352) 247 – 74780