Austrian Tax Basics for Foreign Entrepreneurs: What You Need to Know

Austria has a clear and well-structured tax system, but it comes with strict deadlines and requirements that foreign entrepreneurs often underestimate. Here's what you need to know.

Corporate Income Tax (KöSt)

Austrian companies pay a flat corporate income tax rate of 25% (reduced from 25% to 23% in 2024 for profits up to €100,000). The minimum tax is €1,750 per year for a GmbH, even if no profit is generated.

Value Added Tax (USt/VAT)

The standard VAT rate in Austria is 20%, with reduced rates of 10% (food, books) and 13% (art, sports events). Registration is mandatory once turnover exceeds €35,000 per year.

Key Deadlines

• Monthly UVA — VAT advance return, due by the 15th of the following month
• Annual tax return — due by June 30th (or September 30th with a tax advisor)
• Financial statements — due within 9 months of the fiscal year end

Why Work With a Tax Advisor?

Missing deadlines in Austria comes with automatic late fees. A tax advisor (Steuerberater) extends your deadlines, optimizes your tax burden, and represents you before the Finanzamt. NEXORA provides tax advisory starting from €290/month.