Tax issues for international companies in Austria
In its ruling of 24 October 2024 (Ro 2022/16/0023-4), the VwGH clarified issues regarding the calculation of real estate transfer tax for industrial buildings using the lump sum approach (“Pauschalwertmodell”) as well as issues in connection with construction rights (“Baurecht”), i.e. the right to build and own a building/construction on a land whereby the latter is […]
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Due to the decrease of the main refinancing operations rate by the European Central Bank, the amount of the deferral interest, interest for suspension, claim interest (interest for subsequent payments and credits), appeal interest as well as VAT interest is adjusted in the Austrian Federal Tax Code (FTC). Moreover, the amount of the refund interest […]
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The foundation for applying the transitional CbCR Safe Harbor in the context of the Global Minimum Taxation is a qualified country-by-country report (CbCR). A CbCR is deemed qualified only if it is prepared based on a qualified data basis. The regulation issued by the Federal Minister of Finance on December 5, 2024, provides further clarifications […]
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Recently, the Austrian Federal Tax Court (BFG) dealt in its decision (BFG 8/2/2024, RV/6100451/2018) with the requirements for the power of disposal triggering a permanent establishment. Fact pattern A German dentist treated inmates of Austrian prisons. The tax authority generally has a rather broad understanding of the power of disposal over a fixed place of […]
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The global minimum tax (Pillar II) entails not only complex calculations but also various compliance obligations. Although the filing of the GloBE Information Return and the Austrian Pillar II advance notification is not due until 2026, one compliance issue may already require action by December 31, 2024. The Pillar II rules are applicable from January […]
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On 8 December 2022, the European Commission submitted a draft for a Council Directive on the initiative “VAT in the Digital Age” (ViDA) including the long-awaited proposals for modernising VAT rules in the EU. On 5 November 2024, these were adopted unanimously by the Council of the European Union. In general, the proposal for the […]
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Since 1 October 2024 there is the option to apply via NEIS for the relief measures for energy-intensive businesses and businesses at risk of carbon leakage for the years 2022 and 2023. The application is to be filed until 30 November 2024. The option to partial refund of the paid NEHG tax is intended to […]
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In October 2024, due to the Austrian Progression Compensation Act 2025, there was an amendment to the UStG. Furthermore, the European Commission and the Council have adopted an amendment to the EU Deforestation Regulation. Amendment to the UStG The turnover limit for the applicability of the small business exemption will be raised from EUR 42,000 […]
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The BMF confirms that deposits on one-way packaging are not part of the taxable base for Value Added Tax (VAT) purposes for the concerned beverage deliveries and are therefore not subject to VAT. Also, returning the deposit amounts when returning the one-way beverage packaging is not subject to VAT. Description As of 1 January 2025, […]
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Due to the decrease of the main refinancing operations rate by the European Central Bank, the amount of the deferral interest, interest for suspension, claim interest (interest for subsequent payments and credits), appeal interest as well as VAT interest is adjusted in the Austrian Federal Tax Code (FTC). Moreover, the amount of the refund interest […]
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