Individual Income Tax: Austria's individual income tax rates for 2023 are progressive 0%-50% (4 tax bands). Corporate Tax: Austria's corporate tax rate for 2023 is 25%. Capital Gains: Capital gains of companies are taxed at 25%. Dividend income and capital gains from foreign companies are tax exempt under the participation exemption rules.
Individuals have reduced capital gain tax rates for 50% of the individual's average tax rate for sale of shares bought after December 31 2010
Austria's Personal Income Tax Rates 2023
Income (EUR);Tax (%)
60,001 and over;50
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 can be carried forward with no time limit. There is no carryback for losses .
Austria Social Security
The maximum social security rates in Austria are: Employer — 21.7% - 21.83%% Employer – 18.07% - 18.2%
Tax deducted at Source in Austria
Austrian tax deducted at source for non residents:
Dividend - 25% Interest - 0% Royalties - 20%
Austrian tax year is the calendar year.
V.A.T – The standard V.A.T. rate in Austria is 20%. There is a reduced V.A.T. rate of 10%. The reduced VAT rate applies to tourism services, food and agriculture. The threshold for VAT registration in Austria is an annual turnover exceeding EUR 30,000.
Other Taxes in Austria
Real Estate Tax, Real Estate Transfer Tax, Payroll Tax and Stamp Duty.