Austria VAT Calculator (Der Mehrwertsteuerrechner) 2025
AUSTRIA VAT CALCULATOR
If you’re doing business in Austria or planning to visit, understanding the VAT (Value Added Tax) (Mehrwertsteuer), also known as Umsatzsteuer (USt) in German, is essential. Here’s a breakdown of Austria’s VAT rates and how they apply to various goods and services.
Austria applies different VAT rates depending on the type of goods or services. Here’s an overview of the current VAT rates in Austria:
1 : Standard VAT (Mehrwertsteuer) Rate
20% (or 19% in the regions of Jungholz and Mittelberg).
2 : Reduced VAT (Mehrwertsteuer) Rates
10% and 13%
3 : Exemptions & 0% VAT (Mehrwertsteuer)
Certain goods and services are exempt or subject to a 0% VAT rate.
To ensure you’re applying the correct VAT rates to your goods or services in Austria, it’s important to understand the classification of your items. If you’re unsure about the applicable VAT rate, we recommend consulting with a tax professional or using an Austria VAT calculator {MwSt. Rechner (Österreich)} for accuracy.
Everything You Need to Know About VAT in Austria (Mehrwertsteuer)
Austria’s VAT (Mehrwertsteuer) law is primarily based on the 6th EU VAT Directive, which sets the foundation for VAT regulations within the country. If you’re a business owner or entrepreneur in Austria, it’s essential to understand how VAT works, what rates apply to different goods and services, and which transactions are exempt.
Under Austrian VAT (Mehrwertsteuer) law, individuals and businesses carrying out active and permanent business activities are classified as entrepreneurs for VAT purposes. As an entrepreneur, you must charge Austrian VAT on most goods and services you supply to customers. The standard VAT rate in Austria is 20%, but certain goods and services are subject to reduced VAT rates.

Reduced VAT (Mehrwertsteuer) Rates in Austria
Austria applies reduced VAT (Mehrwertsteuer) rates for specific categories of goods and services. These reduced rates aim to make essential goods and services more affordable. Here’s a breakdown:
- 10% VAT (Mehrwertsteuer) Rate: Applied to items like:
- Books, newspapers, and magazines
- Food products
- Restaurant services
- Passenger transportation
- Medicines and pharmaceuticals
- Hotel accommodation
- 13% VAT (Mehrwertsteuer) Rate: This reduced rate applies to:
- Animals, seeds, and plants
- Cultural services, museums, and zoos
- Film screenings and wood
- Ex-vineyard wine sales and domestic air travel
- Public pools, youth care, and athletic events
VAT (Mehrwertsteuer) Exemptions in Austria
Certain transactions are exempt from Austrian (Mehrwertsteuer) VAT. These include:
- Export transactions
- Cross-border passenger transport by air or sea
Additionally, in some specific areas, such as Jungholz and Mittelberg, a reduced VAT (Mehrwertsteuer) rate of 19% applies.
Austrian VAT and Tax Overview: Input VAT, Filing, Digital Tax & More
Austria’s VAT system is essential for businesses and entrepreneurs operating within the country. This comprehensive guide will walk you through key topics like input VAT, VAT filing, digital services tax, and various other Austrian taxes, ensuring that you stay compliant with Austrian tax regulations.
Input VAT in Austria
In Austria, entrepreneurs are entitled to deduct input VAT on purchases related to their business, as long as those purchases aren’t directly connected to VAT-exempt activities (e.g., interest income or insurance premiums). However, transactions like export transactions are exempt from Austrian VAT but don’t limit the entrepreneur’s ability to deduct input VAT.
To claim input VAT, entrepreneurs must obtain an invoice from their supplier that meets specific formal requirements. Proper VAT documentation is crucial to ensure compliance and avoid issues during audits.
Austrian VAT Filing and Payment Process
Entrepreneurs must file their Austrian VAT returns either monthly or quarterly. VAT returns must be submitted by the 15th day of the second month following the end of the month or quarter in question.
The balance between VAT due and input VAT deducted must be paid to the Austrian tax office, or, if there’s a net input VAT position, the tax office will refund the excess amount to the entrepreneur’s electronic tax account.
Additionally, businesses must submit a separate report for cross-border or intra-EU transactions to ensure compliance with Austrian VAT regulations.
Digital Services Tax (‘Digitalsteuer’) in Austria
Austria introduced a Digital Services Tax on 22 October 2019, targeting large multinational companies that provide online advertising services in Austria. From 1 January 2020, businesses with a worldwide revenue of at least EUR 750 million and domestic revenue of EUR 25 million from digital services are subject to a 5% digital services tax.
This tax is based on the revenue the online advertiser receives, adjusted for expenses related to third-party online advertising services. However, as part of the Pillar One agreement, Austria and other countries agreed to phase out their national digital taxes once Pillar One is implemented.
Customs Duties and Excise Taxes in Austria
Certain imports of goods from non-EU countries are subject to Austrian customs duties, which are based on the EU customs duty scheme. The duty rates depend on the type of goods being imported.
Excise taxes are also applied to certain products like petroleum, tobacco, and alcoholic beverages. These taxes vary depending on the product type and can significantly affect the cost of goods within Austria.
Real Estate Tax and Transfer Tax in Austria
Austrian local authorities levy real estate taxes annually on all properties, including land and buildings. The tax rate is based on the assessed value of the property, with specific multipliers for different property types, including agricultural land, single-family homes, and leased properties.
Real estate transfer tax is generally 3.5% of the purchase price or the property value, whichever is higher. There are lower tax rates for transfers within the family and certain corporate restructuring transactions.
Stamp Duty and Tax on Legal Transactions
Stamp duty applies to legal transactions such as lease agreements, bills of exchange, and assignments of receivables. The duty is triggered when a written contract is established, and various structuring strategies can be employed to minimize or avoid stamp duties.
Environmental Taxes and Incentives in Austria
Austria has implemented a range of environmental taxes, including taxes on energy consumption, motor vehicle taxes, and pollution fees. In addition, Austria introduced a carbon tax in 2022, starting at EUR 30 per ton of CO2 emissions, with gradual increases planned. This tax is designed to encourage businesses to reduce their carbon footprint, with certain incentives available to mitigate the financial impact.
Green initiatives in Austria are also supported through funding programs provided by entities like Kommunalkredit Public Consulting GmbH and the Austrian Promotion Agency. These programs focus on energy savings, thermal renovation, and the promotion of renewable energy solutions.
Payroll Taxes and Social Security Contributions in Austria
In Austria, payroll taxes are withheld by employers and are applied to the salaries of employees. These taxes are progressive and vary depending on income. Employers are responsible for withholding and submitting these taxes to the Austrian tax authority.
Social security contributions for both employers and employees cover areas like sickness insurance, unemployment, pensions, and accident insurance. Rates vary by category, but the total social security contribution can be as high as 39.05% for both the employer and employee.