Austria

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TAXES - ACCOUNTING

 

 

Corporate tax

Tax rate for resident companies

25%

   
Tax rate on long-term capital gains The tax rate on long-term capital gains is 25%.
   
System governing groups of companies and dividends paid by subsidiaries to their parent companies A withholding tax of 25% applies to the dividends paid to non-resident companies. Some exemptions exist within the context of international conventions.
   
Tax rate on branches Branches are taxed at the rate of 25%.




Income tax

Fiscal year The financial year begins on 1st January and ends on 31st December of each year.
   
Income tax rate Applicable tax schedule for one person only, for the incomes of 2005:
- from 0 EUR to 10.000 EUR: 0%
- from 10.001 EUR to 25.000 EUR: 23%
- from 25.001 EUR to 51.000 EUR: 33.5%
- beyond 51.000 EUR: 50%
   



VAT rates

Standard rates 20%
   
Reduced rates 10 and 12%
The reduced rate of 10% applies to foodstuffs, agricultural products, rents, tourism and entertainment.
Exports and Banking transactions are exempted.



Other important taxes


Name of tax
Rate
Municipality tax  
3%  


 

Accounting


General accounting principles
Austrian accounting is governed by the Commercial law.
The accounting rules respect the fourth and seventh European directives imposed by the accounting law
(Rechnungslegungsgesetz). The accounting law requires that all companies.

Obligations and publications
According to their legal status, Austrian companies have to publish annually a profit and loss account, a balance sheet and an appendix.

Certification and auditing
The audit is compulsory for :
Banks, insurance companies and investment funds, all the AktienGesellschaft (AG Limited companies), GmbH (Limited Liability Company) or GmbH&Co Kg (limited partnerships) with a total of assets superior to 37 million Schillings, an annual turnover superior to 74 million Schillings and a workforce superior to 50 persons.
The external control of accounts must be confided to a body of experts ( the approved auditors) recognized as such and chosen by the company.

Professionals and representative organizations
The approved auditor (Wirschaftspruefer) and the fiscal councillors.



Useful links
Austrian Ministry of finances

Last modified in January 2007
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