claim VAT back on car rental in Luxembourg

Deduction of rental cars follows Luxembourg's own rules

VAT on the rental of a means of transport in Luxembourg can be included in the refund request, but whether that amount is also fully granted depends on what Luxembourg allows to its own entrepreneurs. The refund via the tax authority's portal does not work according to Dutch deduction rules: the country where the VAT was paid determines whether and to what extent that VAT is deductible. Many EU countries apply their own restrictions on passenger cars and other means of transport — sometimes a complete exclusion, sometimes partial deduction — and those restrictions also apply to a Dutch entrepreneur who rents a car in Luxembourg.

Rental of a means of transport is one of the ten EU cost categories into which a receipt is classified before a request is compiled. That classification only says something about the category, not about the outcome: only the assessment of what Luxembourg allows for that category determines whether the VAT is fully, partially or not included in the submitted request. What specifically applies to Luxembourg for this cost category is stated in the Requirements list of the tax authority per refund country; that list is consulted before a request for this country is submitted