COVID-19: Support package for start-ups

In mid April, the Austrian federal government presented a COVID package for start-ups. The goal is to support Austrian start-ups that have run into financing and liquidity problems due to the COVID-19 crisis. The COVID start-up package comprises a support fund and a venture capital fund. This article (originally dated 20 April) represents the information […]

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Repayment of tax credits despite deferred arrears

In accordance with the 18th COVID-19 Act, to improve the liquidity situation of companies, it should temporarily be possible for tax credits to be repaid to the taxable person despite of due arrears on their tax account. This is especcialy relevant for tax credits resulting from monthly VAT returns (input VAT surplus) for March or […]

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COVID-19 and international tax law: OECD on permanent establishments and residence status

The measures to control the COVID-19 pandemic have caused severe restrictions on international mobility. In international tax law, this could lead to unintended changes in the right to tax between countries, such as through the creation of a permanent establishment (PE) or a change in the place of effective management for companies operating internationally. The […]

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Additional extension of due dates for annual financial statements

On 4 April 2020, the 4th Austrian COVID-19 Act was passed, which amends the COVID-19 Company Law Act (COVID-19-GesG) of 22 March 2020 and introduces additional simplifications for businesses in terms of compliance with their legal obligations. The following due dates and exceptions now apply under Austrian company law: This article represents the information available to us […]

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COVID-19: Customs relief and VAT exemption on imports of goods to combat the ongoing coronavirus crisis

In Decision 2020/491 of 3 April 2020, the European Commission granted relief from import duties (incl. customs duties), and a VAT exemption on importation, for goods needed to combat the effects of the COVID-19 outbreak during 2020. Customs law (Council Regulation No. 1186/2009) and Council Directive 2009/132/EC envisage the possibility of relief from customs duties and exemption […]

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COVID-19: Austrian Alcohol Tax Act – tax-exempt alcohol for production of disinfectants

The Austrian Ministry of Finance has introduced simplifications in relation to the use of tax-exempt alcohol for the production of disinfectants. In addition to an application to the Customs Office, applications may also be made by email to the address corona@bmf.gv.at by 31 May 2020, in accordance with Austrian regulation BGBl II 121/2020. This includes applications for approval […]

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COVID-19: Subsidies and support measures for companies

The Austrian federal government has announced and already introduced subsidies and support measures for companies due to the current coronavirus (COVID-19) outbreak. This article was prepared on the basis of the information available to us on 30 March 2020. On 14 March 2020, the Austrian government presented the COVID-19 crisis response fund amounting to EUR 4bn, which is intended to […]

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COVID-19: Measures to facilitate tax assessment and appeal procedures (deadlines)

In the following, we provide an overview of the implications of the 2nd Austrian COVID-19 Act and the latest BMF information for tax assessment and appeal procedures (deadlines). This entry was last updated on 25 March 2020 and includes the latest information available to us. TAX RETURN DEADLINES Annual tax returns Generally, tax returns (e.g. income tax, […]

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COVID-19: VAT consequences

The official measures to combat coronavirus lead to questions about the VAT-related consequences of these measures. Uncollectible amounts and rent reductions for business premises during the COVID-19 crisis also need to be treated correctly from a VAT perspective. Compensation, cancellation fees, and frustrated expenditure Many congresses, events, concerts, trips etc. had to be cancelled due […]

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COVID-19: Liquidity measures of the Austrian Ministry of Finance, social insurance providers, and other authorities

The Austrian Ministry of Finance (BMF) has introduced facilitations for tax payments, which will relieve the liquidity situation of taxpayers affected by the coronavirus epidemic. Taxpayers need to credibly demonstrate that the measures introduced by the authorities (stay-at-home policies, as well as the closure of educational institutions, cancellation of events, and general restrictions on daily […]

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