Minimizing inheritance tax liability in Luxembourg involves strategic estate planning. Key strategies include making use of exemptions and allowances, such as transferring assets to direct heirs or spouses, who benefit from lower tax rates or exemptions. Establishing a well-drafted will can ensure that assets are distributed according to your wishes while maximizing tax benefits. Additionally, gifting assets during your lifetime can reduce the overall value of the estate subject to inheritance tax. Consulting with a qualified inheritance law professional is essential for personalized advice and to navigate the complex legal landscape effectively.