Important: this is not tax advice

NestFainder does not provide tax or legal advice. Everything here is general information to help you orient yourself — not advice for your personal situation.
All information is compiled only from publicly available sources: official government publications and the Big Four accounting firms. You can find the specific sources in the breakdown below.
This content is generated with the help of AI. AI can make mistakes, be out of date, or misread the law.
Before you make any decision or take any action, you must always consult a qualified tax advisor or lawyer about your own situation.
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Tax at a glance

The essentials for people moving to Austria.

What gets taxed?: Worldwide Income Taxation
Resident after: 183 days
Your foreign income: Taxed
Foreign investment gains: Taxed
Exit tax when you leave: Yes
Wealth tax: No
Double-tax treaties: 91 countries
Special expat programs: 3 available
Crypto gains: 27.5%
Foreign-company rules: Yes
Social security (you): ~18.12%
Health insurance: Required

Documented from official and expert sourcesSee full breakdown & sources

Tax Information in Austria

Understanding the tax system is crucial for financial planning when considering Austria. This overview covers income tax, corporate tax, VAT/sales tax, and overall tax burden to help you evaluate the fiscal landscape and its impact on your finances.

Income Tax

Austria:0% - 55%

Europe:Varied

0510

Good

Progressive income tax system with seven brackets ranging from 0% to 55% on taxable income. Residents face unlimited tax liability on worldwide income; non-residents pay only on Austrian-sourced income. Tax-free allowance up to €11,693. Social security contributions (health, pension, unemployment, accident insurance) shared between employees and employers, capped at €5,850 monthly.

Corporate Tax

Austria:23%

Europe:Varied

0510

Moderate

Flat corporate income tax rate of 23% on taxable profits for resident and non-resident entities. Minimum annual CIT of €500 (€125 quarterly) applies even without profits. Quarterly advance payments required. Minimum CIT credited without time limit against future tax liability. No special startup incentives or regional variations noted.

VAT/Sales Tax

Austria:20% (10%, 13% reduced)

Europe:Varied

0510

Moderate

Standard VAT rate of 20%, slightly above EU average. Reduced rates of 10% and 13% apply to specific services including food, accommodation, and certain goods. VAT included in displayed prices. Monthly or quarterly settlement via advance VAT returns and annual filings. Input tax deductible where requirements met.

Overall Tax Burden

Austria:~43% of GDP

Europe:Varied

0510

Moderate

Above-average tax burden for EU. Tax-to-GDP ratio approximately 43%, reflecting comprehensive social security system and public services. Combined effect of progressive income tax (up to 55%), 20% VAT, and mandatory social contributions creates significant overall burden. Comparable to Nordic countries in tax intensity.

Expat Tax Setup in Austria

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Austria operates a worldwide income tax system for its residents, meaning individuals are taxed on all income, regardless of its source. Tax residency is established by having a domicile or habitual abode in the country, or by staying for more than 183 days. The country has a progressive income tax system with rates up to 55%. For expats, there are some potential benefits, such as a special ruling that allows for a 20% flat-rate professional expense allowance, and specific tax allowances for incoming scientists and researchers. However, Austria has a significant exit tax on unrealized capital gains for those ceasing residency, which applies to securities and crypto-assets. There are no wealth, inheritance, or gift taxes. Social security contributions are mandatory and relatively high, but the system provides comprehensive health and pension benefits. Austria's extensive tax treaty network helps mitigate double taxation.

Foreign Income

Taxable

Capital Gains

Taxable

Tax Residency

183 days

Exit Tax

Yes

Also included:

Special Programs (3)AdvantagesRisks & Watch-outsWho benefits mostForeign Income DetailsCapital Gains DetailsExit Tax

Researching expat tax setup...

For You in Austria

Personalized analysis based on your profile

Documented data & sources48/51 sourced · 76% avg confidence

Tax regime

Worldwide Income Taxation[1][2][3]Strong sources

Regime type

Worldwide[1][2][3]Strong sources

Residency trigger (days)

183[4][5]Limited sources

Habitual abode test

Yes[4][5]Strong sources

Residency notes

[5]Strong sources

An individual is considered a resident of Austria for tax purposes if they have a domicile (Wohnsitz) or habitual abode (gewöhnlicher Aufenthalt) in Austria. A domicile is established if the individual maintains a dwelling in Austria that indicates the intention to use it permanently. A habitual abode is established if an individual stays in Austria for a period exceeding six months (183 days) in a calendar year. This 183-day period does not need to be continuous. Once tax residency is established, individuals are subject to unlimited tax liability on their worldwide income. If an individual has a domicile in Austria, they are considered a tax resident regardless of the number of days spent in the country.

Sources

1.
Big FourAustria - Individual - Taxes on personal income· taxsummaries.pwc.com
"All individuals resident in Austria are subject to Austrian income tax on their worldwide income..."
2.
GovernmentIncome tax liability· usp.gv.at
"all of their Austrian and foreign income is subject to Austrian income tax."
3.
Big FourPwC Tax Summaries - Austria Individual Income Determination· taxsummaries.pwc.com
"Individuals who have their domicile or habitual abode in Austria are subject to unlimited tax liability on their worldwide income."
4.
Big FourAustria - Individual - Residence· taxsummaries.pwc.com
"in any event, after a six-month stay in Austria (six months being 183 days)."
5.
Big FourPwC Tax Summaries - Austria Individual Residency· taxsummaries.pwc.com
"An individual is deemed to have a habitual abode in Austria if they stay in Austria for a period exceeding six months (183 days) in a calendar year."
6.
IndustryHow Does Capital Gains Tax Work in Austria?· etoro.com
"In Austria, when you sell financial assets such as shares, property or crypto, you may need to pay capital gains tax (CGT) on any profits you make. (."
7.
Big FourAustria - Individual - Foreign tax relief and tax treaties· taxsummaries.pwc.com
"The following table lists the countries with which Austria has signed DTTs: [...] Albania, India, Poland [...], Philippines (Total 91 countries listed"
8.
IndustryAustria (Chapter 3) - The Impact of the OECD and UN Model ...· cambridge.org
"Today, around eighty treaties are in force."
9.
GovernmentCapital gains or income from realised value increases - BMF· bmf.gv.at
"Exit taxation (§ 27 VI 1 EStG) Any circumstances leading to loss of Austria’s right of taxation with regard to the gains on disposal likewise constitu"
10.
Big FourAustria - Corporate - Income determination - PwC· taxsummaries.pwc.com
"A special tax treatment applies to capital gains with respect to the exit of taxable assets. In the case of a transfer of assets that formed part of a"
11.
GovernmentTax treatment of cryptocurrencies - BMF· bmf.gv.at
"This legal assessment is also applicable to circumstances that lead to the loss of Austria's taxing right with regard to capital gains, resulting in d"
12.
IndustryTax Residency | Grant Thornton· grantthornton.at
"If this criterion does not lead to a clear result, the habitual abode and, if necessary, nationality are considered. If residency still cannot be dete"
13.
IndustryAustrian Tax Exit 2026: Wegzugsbesteuerung Explained - Flyto· flytorelocation.com
"Return to Austria within 5 years (EU/EEA) Reversal of deemed disposal"
14.
IndustryMoving from Austria Tax Guide 2026· countrytaxcalc.com
15.
IndustryPractical Guide to Ceasing Your Tax Residency in Austria· university.heavnn.io
"You must deregister your primary residence (Hauptwohnsitz) with the local registration office (Meldeamt). This is a mandatory step to officially recog"
16.
IndustryPrivate Wealth 2025 - Global Practice Guides· practiceguides.chambers.com
"Individuals who have a permanent domicile (Wohnsitz) and/or their habitual abode (gewöhnlicher Aufenthalt) in Austria are subject to income tax (Einko"
17.
Big FourAustria - Individual - Other taxes - PwC Tax Summaries· taxsummaries.pwc.com
"There is no wealth/worth tax in Austria."
18.
IndustryNew inheritance and wealth tax looming? - CMS.law· cms.law
"Austria currently has neither a wealth tax nor an inheritance tax or gift tax."
19.
IndustryI’m Moving to Austria — What Should I Know? - Creative Planning· creativeplanning.com
"While Austria doesn’t impose an inheritance tax... Real estate – Income from the sale of private real estate is taxed at 30%"
20.
Big FourAustria's Ministry of Finance publishes draft CFC rules· globaltaxnews.ey.com
"For the first time, Austria has introduced a comprehensive CFC regime."
21.
Big FourAustria - Corporate - Significant developments· taxsummaries.pwc.com
"On 29 December 2025, an amendment to the Austrian Corporate Income Tax Act 1988 ('Körperschaftsteuergesetz') was published in the Federal Law Gazette,"
22.
IndustryCorporate Tax Laws and Regulations Report 2026 Austria· iclg.com
"The 2018 Annual Tax Act implemented the standards set by the ATAD and introduced CFC rules for CFCs and permanent establishments."
23.
Big FourAustria's Ministry of Finance publishes draft CFC rules· globaltaxnews.ey.com
"holding a controlling interest (generally defined as more than 50% of voting rights, capital or entitlement to profits)"
24.
IndustryCrypto Tax in Austria - Legislation & Tax Law - cms.law· cms.law
"The difference between the value received and the tax acquisition cost of the crypto-asset is taxed with a tax rate of 27.5%."
25.
IndustryWKO.at - Sozialversicherung für Selbstständige (Social Security for Self-Employed)· wko.at
"Die Beiträge zur Sozialversicherung der Selbstständigen setzen sich zusammen aus: Pensionsversicherung (18,5%), Krankenversicherung (6,8%), Unfallvers"
26.
GovernmentFederal Ministry for European and International Affairs - Social Security Agreements· bmeia.gv.at
"Austria has concluded bilateral social security agreements with numerous countries outside the EU/EEA/Switzerland."
27.
Governmentoesterreich.gv.at - Health insurance· oesterreich.gv.at
"In Austria, health insurance is compulsory for all persons in employment, for recipients of unemployment benefits, pensions, etc., and for self-employ"