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Generic Tax Name Personal income tax - Assessed income
Tax name in the national language Veranlagte Einkommensteuer
Tax name in English Personal Income Tax - Assessed Income Tax
Member State AT-Austria
Tax in force since 1989/01/01
If abolished, date on which the tax ceases to apply
Business version date 2015/01/01
Version date 2015/02/17
This file was last updated on

Type of tax
Direct taxes Personal income tax
Corporate income tax
Other

Indirect taxes VAT
Excise duty (EU harmonised)
Alcoholic beverages
Energy products and electricity
Manufactured tobacco
Other

Social security contribution Employers
Employees
Other
 
Legal base

1988 Income Tax Law, BGBl. (federal law gazette) No 400/1988, as last amended by BGBl.  I No. 105/2014

 
Who sets
The tax rate is set by




The tax base is set by




The reliefs are set by




Comments
 
Beneficiary





Comments

The beneficiaries of the tax are the federal government (67.8%), the provincial governments (20.5%) and the local authorities (11.7%).

 
Geographical Scope

Austria, but see also information regarding taxpayer.

 
Taxpayers
Domestic-source income of non-residents is Taxed
Not Taxed
Comments

Individuals (natural persons) are taxpayers regarding assessed income tax.

In general only natural persons resident in Austria are subject to income tax on their worldwide income (unlimited tax liability). A person whose domicile or usual place of abode is located in Austria is deemed to be resident. The domicile of an individual is the place where he occupies a residence under circumstances which indicate that he will retain and use it not merely temporarily.

Usual place of abode is given in case of physical presence over extended period of time. Individuals are considered to have a usual place of abode in Austria if they remain there for 183 days or more in any tax year. Citizenship and nationality are therefore not relevant.

Natural Persons who are resident outside Austria are either exempt or only liable with respect to income sources or assets that are suited in Austria.


Employment incomes of married couples are Taxed jointly
Taxed separately
Comments


Comments

 

 
Tax object and basis of assessment
As general rule, taxable income under personal income tax includes























Comments

Income considered Domestic income
Worldwide income (subject to double-tax relief)
Comments

Benefits in kind
The following benefits in kind are usually (partially or fully) taxable












Comments


Comments

 

 
Deductions, Allowances, Credits, Exemptions
Deduction for professional expenses.
The deduction is:





Comments

Deductions from the tax base
The following items are usually (partially or fully) deductible

















Comments

Allowances
The basic yearly allowance for an individual amounts to: 11,000.00  EUR/National currency
The basic yearly allowance for a couple amounts to:
Additional allowance for 1st child
Additional allowance for 2nd child
Additional allowance for 3rd child
Additional allowance for additional child
Additional allowance for old age dependents
Comments

A certain basic income remains tax-free for every person liable to unlimited income tax. According to tax scale in general annual income up to € 11,000 is tax free.


Credits
The basic yearly credit for an individual amounts to:
The basic yearly credit for a couple amounts to:
Additional credit for 1st child 494.00  EUR/National currency  or  %  of tax base
Additional credit for 2nd child 175.00  EUR/National currency  or  %  of tax base
Additional credit for 3rd child
Additional credit for additional child 220.00  EUR/National currency  or  %  of tax base
Additional credit for old age dependents
There are tax credits for:

















Comments

Income is assessed individually, but to claim a sole-earner deduction it is essential to live in a marriage or  a marriage-like partnership, to have at least one child and the partner may only have a maximum income of € 6,000 per year. 

Sole earners and single parent's tax credits: basic amount of € 494 per year with one  child, if a family allowance is received for for this child during a minimum of seven months. A scaled child supplement is applied. If a taxpayer is entitled to a child supplement, it is possible that these amounts are paid out as negative tax.

Other tax credits are the alimony tax credit and the children tax credit (the children tax credit is paid as transfer together with other family transfers).

For Pensioners there is a pensioner tax credit of € 400 per year which is settled automatically by social security institutions. Under several conditions the pensioner tax credit amounts € 764 per year.


Losses
Losses can be
Carried-forward for Indefinite
 Years
Carried-back for Indefinite
 Years
Transferred to spouse or partner
Comments

Exemptions
The following income is exempted from income tax























Comments


Comments

The following are the most important non-taxable payments:

  • payments from public funds (e.g. accident benefits, parental-leave benefits; parental-leave assistance and child-care benefits; maternity allowance and similar remunerations under the statutory social security system; family remuneration; pension payments to the war-disabled and other victims, aid for the needy person, aid for promoting the arts, science and research; educational grants; unemployment benefit; assistance under the Labour Market Promotion Law; Payments under the Invalid Recruitment Law; public subsidies for the purchase or repair of business assets);
  • certain parts of income from employment (see "Wage Tax");
  • other exemptions (e.g. foreign students doing periods of practical training, allocation of free shares in companies limited by shares).
  • Taxpayers can claim a profit exemption of 13 % of the first 175,000 Euro profit made by their companies. The profit exemption is reduced to 7% of the next 175,000 Euro and 4.5% of the next 230.000 Euro profit made by their companies. The maximum amount for each person annually is 45,350 Euro. The profit exemption consists of two parts: a basic amount and an amount which depends on the investment made. Until a profit 30,000 Euro the basic amount is automatically calculated independently of the investment made.
 
Rate(s) Structure
The following personal income tax rates apply to aggregate annual income (allowances not included)
Bracket 1 From  0.00  EUR/Natcur
To  11,000.00  EUR/Natcur
Rate: 0.00 %
Bracket 2 From  11,000.00  EUR/Natcur
To  25,000.00  EUR/Natcur
Rate: 36.50 %
Bracket 3 From  25,000.00  EUR/Natcur
To  60,000.00  EUR/Natcur
Rate: 43.21 %
Bracket 4 From  60,000.00  EUR/Natcur
To   EUR/Natcur
Rate: 50.00 %
Comments

marginal rates


Regional taxes
Regional taxes are (rate in capital region) A lump-sum amount:
A percentage of income:
A tax surcharge:
Comments

Local/municipal taxes
Local taxes are (rate in capital city) A lump-sum amount:
A percentage of income:
A tax surcharge:
Comments

Special surcharges
There are special surcharges in the form of:
Surcharge 1 : Name:
A lump-sum amount:
A percentage of income:
A tax surcharge:
Comments

Separate taxation
Separate taxation applies to the following items: Employment income
Income from business or self-employed activities
Income from sport and entertainment activities
Benefits in kind (company car, meal cheques, etc)
Pension income
Owner-occupied immovable property
Dividends 25.0 %
Interests from government bonds 25.0 %
Interests from corporate bonds 25.0 %
Interests from special saving accounts 25.0 %
Interests from deposits 25.0 %
Royalties
Income from renting immovable property
Income from renting movable property
Capital gains on immovable property 25.0 %
Capital gains on movable property
Inheritance
Annuities from life insurance
Prizes and awards
Scholarships
Income from occasional activities
Revenues from donations and gifts
Revenues from lotteries and games activities
Comments

The tax on capital gains on immovable property in general is a final tax.


Withholding taxes
The tax is withheld when paid to residents on: Dividends: 25.00 %
Final Creditable
Interests from governments bonds: 25.00 %
Final Creditable
Interests from corporate bonds: 25.00 %
Final Creditable
Interests from special saving accounts: 25.00 %
Final Creditable
Interests from deposits: 25.00 %
Final Creditable
Comments


Comments
 
Tax due date

Quarterly advance payments (on 15th February, 15th May, 15th August, 15th November). Generally, the filing date for assessment is the 30 April of the following year, in the case of online submission the 30 June of the following year.

 
Tax collector

Federal tax administration. The income tax is assessed annually. In the case of income from employment and pensions, tax is withheld by employer and social security monthly (see "Wage Tax"); in the case of certain kinds of income from capital assets (e.g. dividends, bonds and bank interests) tax is withheld at source at a rate of 25 % (see "Capital Yields Tax"). In case of capital gains on immovable property tax can be withheld at source by notaries and lawyers.

 
Special features

Individuals that are resident outside Austria are either exempt or only liable with respect to income sources and assets that are suited in Austria. EU citizens may opt for unlimited tax liability if at least 90 % of their income is subject to Austrian income tax or the foreign income does not exceed 11,000 Euro. 

Partnerships are not income tax subject themselves but considered as transparent for income tax purposes. The profit of partnerships is taxed on the level of the partners and not on the company's level. Nevertheless it has to calculate its profits and determine each partner's share in the profit. 

Business losses can only be carried forward, if the profits are determined by accrual based accounting. If the profits are determined by cash accounting, losses can be forwarded for three years. 

Losses which are a result of private activities (income from employment, rental income, income from capital and other income, as eg the sale of real estates) can not be forwarded.

 

 
Economic function







Comments
 
Environmental taxes



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Tax revenue
ESA95 code d51aa

Year
Annual tax revenue (millions)
Currency
Tax revenue as % of GDP
Tax revenue as % of total tax revenue
2012 3,867.00 EUR 1.22
2011 3,718.00 EUR 1.21
2010 3,780.00 EUR 1.28
2009 3,761.00 EUR 1.31
2008 3,827.00 EUR 1.31
2007 3,703.00 EUR 1.31
2006 3,644.00 EUR 1.37
2005 3,826.00 EUR 1.51
2004 4,006.00 EUR 1.66
2003 3,646.00 EUR 1.58
2002 3,963.00 EUR 1.75
2001 4,812.00 EUR 2.19
2000 3,792.00 EUR 1.78

Comments