Tax issues for international companies in Austria
Public awareness of the importance of tax as a contribution to society increases especially in times of crisis. The trend towards greater transparency also means that tax has become an established part of sustainability reporting. With the adoption of the “GRI 207: Tax 2019” standard in December 2019, the Global Reporting Initiative (GRI) defined for […]
read more
For the Austrian Ministry of Finance (BMF), the ruling of the Austrian Supreme Administrative Court (VwGH) of 23 April 2021 (Ra 2020/13/0089) provided the impetus to conduct a pragmatic overhaul of withholding tax relief in the form of the Ordinance on Withholding Tax Relief for Personnel Leasing. Initial situation As foreign employers are subject to limited […]
read more
In late September 2022, initial details of the energy costs subsidy were published (see newsletter of 29 September 2022). The relevant guidelines themselves have not yet been published and are currently subject to review by the European Commission (notification procedure). Approval is expected in the coming days. According to the recent press release of the Austrian […]
read more
Due to the recent increase of the key ECB interest rate by 0.75%, changes to deferral interest, interest for suspension, claim interest (interest for subsequent payments and credits), appeal interest, as well as VAT interest have occurred. The European Central Bank raised its key interest rate with effect from 2 November 2022. Due to the automatic […]
read more
On 13 October 2022, a members’ bill was tabled for the remedy of the ban on deductions for voluntary severance payments. The Austrian Constitutional Court (VfGH) overturned the ban on deductions for voluntary severance payments in March 2022 and set a deadline for legislative amendments to be carried out by 31 December 2022. Further changes concern, among other […]
read more
A new decision of the Austrian Supreme Administrative Court (VwGH) (22.6.2022, Ro 2020/13/0004) was recently published regarding the definition of a “fixed place” under tax treaty law. For a fixed place to exist, a taxable person must have power of disposal over it. For Austrian tax purposes, a decisive hallmark of the existence of a […]
read more
As previously reported in our Tax Newsletter of 14 June 2022, the grace period for the submission of tax returns for 2020 for taxpayers with tax representatives was initially extended by three months (from 31 March 2022) to 30 June 2022 and then again to 30 September 2022. The Austrian Ministry of Finance (BMF) has […]
read more
In July 2022, the Business Energy Costs Subsidy Act (UEZG, BGBl. I No. 117/2022) was passed by the Austrian Parliament and published in the Federal Law Gazette (see Newsletter of 14 July 2022). The Act provides for relief for energy-intensive companies. Specifically, this non-repayable subsidy is intended to cover roughly a third of the additional costs […]
read more
In a decision of 8 September 2022 in the case C-98/21, W GmbH, the CJEU addressed the question as to whether supplies obtained by a parent company in order to forward them to a subsidiary free-of-charge in the form of a shareholder contribution were eligible for input VAT deduction. Facts The objects of business of W […]
read more
Following the approval of the first inflation relief package in the Austrian Parliament at the end of June (see our newsletter of 28 July 2022), the Austrian government published the government bills for the inflation relief package parts II and III on 14 September 2022. At the heart of the package – alongside other relief measures – […]
read more
