Austria Income Tax Rates 2020
(Last partial update, March 2020)
Individual Income Tax: Austria's individual income tax rates for 2020 are progressive 0%-55% (seven tax bands).
Corporate Tax: Austria corporate tax rate for 2020 is 25%.
There is an alternative minimum tax of EUR 1,750 for limited liability companies and EUR 3,500 for joint stock companies.
Capital Gains: Capital gains of companies are taxed at 25%.
Individuals generally pay 25% capital gain tax for assets bought after April 1, 2012.
In other cases the tax rate is 27.5%/30%.
Dividend income and capital gains from foreign companies are tax exempt under the participation exemption rules.
Dividend received from a resident company is tax exempt.
Austria Personal Income Tax Rates 2020
| Income (EUR) | Tax (%) | ||
|---|---|---|---|
| 1-11,000 | 0 | ||
| 11,001-18,000 | 25 | ||
| 18,001-31,000 | 35 | ||
| 31,001-60,000 | 42 | ||
| 60,001-90,000 | 48 | ||
| 60,001-1 million | 50 | ||
| Over 1 million | 55 |
Residence
Companies are resident if managed in Austria or incorporated in Austria.Individuals are resident if having a flat/home in Austria or if living there for more than six months.
Consolidated Tax Returns
Companies can file consolidated tax returns when the holding of the parent company exceeds 50%.Losses
Losses can be carried forward up to 75% of the current year income with no time limit.There is no carryback for losses.
Austria Social Security
The maximum social security rates in Austria are:- Employer -21.38%
- Employee - 18.12%
Deduction of Tax at Source in Austria
Austria tax is deducted at source from the following payments to non residents:- Dividend- 0%/27.5%
- Interest- 0%/27.5%
- Royalties- 20%
- The tax withholding rates may be reduced under relevant double tax treaties.
Austria V.A.T and Other Taxes
V.A.T - The standard V.A.T. rate in Austria is 20%.There are reduced V.A.T. rates of 10% and 13%.
The reduced VAT rate applies to tourism services, food and agriculture.
The threshold for VAT registration in Austria is an annual turnover exceeding EUR 35,000.
Austria Other Taxes
Real Estate Tax, Real Estate Transfer Tax, Payroll Tax and Stamp Duty.
Note: The information in this site is for general guidance only. Users of this site are advised to take professional advice before taking practical tax decisions.
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