Austrian Transfer Pricing Documentation Law 2016

Dear Clients, On 1 August 2016 the Transfer Pricing Documentation Law was published in Austria. It applies to fiscal years starting on or after 1 January 2016. This law requires multinational companies, depending on their size, to prepare certain documents and files and to send them to the tax office. Documentation obligation Multinational companies must prepare a Country-by-Country report (“länderbezogener […]


Checklist Payroll – audit highlights of the tax inspectors

Dear clients, Austrian tax inspectors and auditors from the Austrian social security authority are making a payroll audit in regular intervals. They are scrutinizing if the wage tax, social security and the payroll related taxes have been done properly. The audit period includes normally the (last) five years. What are the highlights the tax inspectors are going for? We have […]


New Expatriates Tax Regime in Austria

Dear clients, Foreign employees who are assigned to Austria are considered as Expatriates if they meet the following criteria: • the employee is an employee of a foreign company • the employee is assigned to an Austrian group-company of this foreign company • the employment in Austria must not exceed 5 years • the employee was not resident in Austria […]


Payment of your Income or Corporation tax prepayment for the 1st quarter 2016

  Dear clients, Some of you have to make Income or Corporation tax prepayments. Recently we have sent you a document from the tax office per post informing you about this prepayment (“Buchungsmitteilung/BUMI”). The prepayment is for the 1st quarter of 2016. If you did not receive this information pls contact us asap. The due date for this prepayment is […]


Tax Flash Feb 2016

AITC: Announcement Regarding 2016 Berlin AITC GM Dear Members, We kindly remind you that our annual meeting will take place in Berlin this year (Sep. 2-3, 2016). Most of you will arrive Thursday Sept. 1st and depart Sunday Sept. 4th. Please save the date, if not done so already. Due to a fair we need to make reservations as soon […]


Tax Flash Jan 2016

France: BEPS Enacted Through the French Tax Code In accordance with action 13 of OECD, Base Erosion and Profit Shifting (BEPS), was enacted through French legislation (Article 121 of the Finance Law dated December 29, 2015). “A country by country” tax return shall contain information relating to (i) group income, (ii) accounting, economics and taxes indicators and (iii) the localization […]


Payment of your Income or Corporation tax prepayment for the 4th quarter 2015

  Dear clients, Some of you have to make Income or Corporation tax prepayments. Recently we have sent you a document from the tax office per post informing you about this prepayment (“Buchungsmitteilung/BUMI”). The prepayment is for the 4th quarter of 2015. If you did not receive this information pls contact us asap. The due date for this prepayment is […]


Tax Flash Oct 2015

Cyprus: Double Tax Treaty Between Cyprus and Iran Signed On 4 August, 2015 Cyprus and Iran signed a Double Tax Treaty agreement during an official visit of the Iranian Deputy Economy Minister and Head of the Islamic Republic of Iran’s Tax Organisation in Cyprus opening the way for new investment opportunities and trade relations between the two countries. The Agreement […]


Tax Flash Sep 2015

UK: An Overview of Some Recent and Topical UK Developments There is no one particular hot UK tax topic that has arisen recently whilst the UK Parliament has been in its Summer recess, so here is a brief summary of some recent developments and observations for you: 1. The UK Treasury has announced that the UK Chancellor’s (George Osborne’s) Autumn […]


Tax Flash Aug 2015

UK: The End of the UK Personal Tax Return You may have read the UK Government announcement in the first 2015 Budget of earlier this year of the end of the UK personal tax return which is to be replaced by the personal digital account. In case you did not – aside is a link to HMRC’s summary of this […]


Payment of your Income or Corporation tax prepayment for the 3rd quarter 2015

  Dear clients, Some of you have to make Income or Corporation tax prepayments. Recently we have sent you a document from the tax office per post informing you about this prepayment (“Buchungsmitteilung/BUMI”). The prepayment is for the 3rd quarter of 2015. If you did not receive this information pls contact us asap. The due date for this prepayment is […]


New Austrian Tax legislation 2016

  Dear clients, After long discussions the Austrian government has decided to reform the Austrian tax legislation and as one of the measures to alter and to reduce the Austrian Income Tax rates for an income up to Euro 1 million per year. At the moment there are 4 different income tax brackets, 2016 there will be 7. Tax brackets […]


Tax Flash Jun 2015

Cyprus: Double Tax Treaty Between Cyprus and Georgia Signed On 2 April 2015, a Double Tax Treaty (DTT) has been signed between Cyprus and Georgia. The agreement will come into force as from 1 January 2016 when both countries are expected to complete the ratifications procedures. The Treaty applies to taxes on income as well as on gains from alienations […]


Payment of your Income or Corporation tax prepayment for the 2nd quarter 2015

  Dear clients, Some of you have to make Income or Corporation tax prepayments. Recently we have sent you a document from the tax office per post informing you about this prepayment. The prepayment is for the 2nd quarter of 2015. If you did not receive this information pls contact us asap. The due date for this prepayment is May […]


Tax Flash May 2015

Cyprus: Double Tax Treaty between Cyprus and South Africa – Amending Protocol A Protocol amending the Double Tax Treaty between Cyprus and South Africa was signed on 1 April 2015. The Double tax treaty is based on the OECD Model Convention for the Avoidance of Double Taxation on Income and on Capital. This updated protocol introduces new amendments such as […]


Tax Flash Apr 2015

Cyprus: Double Tax Treaty between Cyprus and Bahrain signed On 9 March, 2015 Cyprus and Bahrain signed a Double Tax Treaty agreement during an official visit of the Cypriot President, Nicos Anastassiades, to the Arab Kingdom. The agreement is expected to contribute to the further development of the trade and economic relations between Cyprus and the Government of Kingdom of […]


Tax Flash Mar 2015

Luxembourg: Tax Treatment of the Limited Partnership Limited Partnerships are treated as “tax transparent” with respect to corporate tax purposes, in most cases… Some Partnerships are deemed not taxable in Luxembourg (eg. holding shares in a foreign private equity deal, holding a yacht/plane, an estate abroad, a portfolio of securities, in Luxembourg or abroad): If the partnership is managed by […]


New Double Taxation Agreement between Austria and Taiwan

The new double taxation agreement between Austria and Taiwan has been entered in force as of January 1, 2015. Basically the agreement is in accordance with the OECD model convention on Income and on Capital. Article (2) Definition of the taxes covered – all Income taxes, taxes on wages and salaries, taxes on capital appreciation. Articles (10) dividends, (11) interest, […]


Tax Flash Jan 2015

Luxembourg: New Tax Measures, Applicable as From January 2015 Minimum income tax Collective entities are subject to either a minimum income tax of €3,210 or to a progressive minimum income tax from €535 to €21,400 that varies on the total assets on their balance sheet. The minimum income tax of €3,210 is applicable to collective entity that will have to […]


Tax Flash Dec 2014

US: How to Complete Form W-8 BEN E & and W-8IMY? After receiving numerous questions from clients and US Stock Brokers on how to fill out the various Form W–8’s, which now has increased to 8 pages in some cases, we discovered a blog post entitled Guide to Completing Form W-8 and Complying with FATCA for Foreign Entities, which found […]


Tax Flash Oct 2014

This Month’s Content (in the presented order): US: So What Does “Non-Willful” Really Mean Under The Streamlined OVDP – Take #2?; by Ronald A. Marini UK: Domicile by David Watts Luxembourg: Fund Manager – AIFM – NEW Tax Regime for Carried Interest – 12%; by CreaTrust Sàrl Spain: Voluntary Reporting Scheme for Pensioners in Spain; by Emilio Alvarez Arjona Italy: […]


September 30 – due dates

Application for reduction An application for reduction concerning the Income Tax prepayment 2014 and the Corporation Tax prepayment 2014 can be filed with the tax office until September 30 at the latest. Normally the basis for this application for reduction will be the taxable profit of the last tax assessment and the argument that the profit 2014 will be lower. […]


Tax Flash Jul sec. 2014

India: Professional Updates – July 2014 INDIA BUDGET 2014-FOREIGN DIRECT INVESTMENT HIGHLIGHTS: The Finance Minister Mr. Arun Jaitley, has set himself a daunting task to maintain the FY15 fiscal deficit target of 4.1 %, and is trying to bring back the interest of foreign institutional investors by increasing the FDI limit in some sectors and abolishing the controversial retrospective tax. […]


Cars and Austrian Tax Law

Claiming operating costs Whether a car is classified as belonging to private or business assets depends on the extent to which it is used for business purposes. If more than 50% of the vehicle’s use is for business, it counts as a business asset; where business use is less than 50%, it must be classified as a private asset. Vehicles […]


Tax Flash Jun 2014

Slovenia: Tax News The Constitutional Court of Slovenia annulled the new real estate tax law, which sought to impose a tax levy on the real estate property based on the records of proprietary rights established as of 1st January in this year. Since the real estate act failed, various old taxes are levied on real estate: compensation for the use […]


Tax Flash Mar 2014

Spain: New Social Security Law regulations Due to the publication of the Royal Decree Law 16/ 2013, 20 of December, on measures to promote stable employment and improve employability, the article 109 of the General Social Security Law has been modified. As a consequence, the SS contribution base has been broadened. As a general rule, before the new regulations, most […]


VAT-refund procedure for foreign entrepreneurs in Austria

1.) VAT-Refund for foreign entrepreneurs who are established within the EU Foreign entrepreneurs who are established within the EU (European Union), but who have neither their registered office nor a fixed establishment within the Austrian territory who make no taxable transactions in Austria, or effect only tax-exempt transport of goods or only tax-exempt transport of passengers by ship or aircraft, […]


Double household and home leave – Austrian income tax regulations

If your place of work is too far away from your family residence to allow you to return home every day (in any event at a distance of more than 120 km) and you therefore need an apartment near your work, the costs for this apartment are tax deductible as income-related expenses. In order to deduct expenses for a double […]


Tax Flash Nov 2013

Turkey: Turkey and India Sign Cooperation Agreements Agreements aiming to boost cooperation between the two countries were signed in the fields of small- and medium- sized enterprises, archive research, media, science and technology. Moreover, several Turkish and Indian universities signed memoranda of understanding. The two leaders also discussed Turkish-Indian relations in addition to exchanging views about current regional and global […]


Tax Flash Oct 2013

UAE: Transfer Pricing Is Gaining Awareness in GCC Countries Nowadays, in administrating transfer pricing regulations, most countries have adopted the OECD’s Transfer Pricing Guidelines. And as a consequence of the abovementioned guidelines, a massive shockwave of attention on transfer pricing was created and reached. This affected tax authorities worldwide due to the connection that transfer pricing has with anti-avoidance practices […]


GmbH “light” since 1 July 2013

Since 1 July it has been possible to set up a “light” version of the Austrian GmbH. This has been made possible by the Company Law Amendment Act 2013 (Gesellschaftsrechts-Änderungsgesetz) which came into force recently. We have summarised the most important changes below, with the following as notable improvements: The minimum share capital required for establishing a GmbH has been reduced […]


Tax Returns 2012

Due date for tax returns In Austria tax returns (Income tax return, VAT tax return and Corporation tax return) have to be filed with the tax office until April 30 of the following year. If the tax return will be filed electronically by “Finanz Online”, the time limit will be streched until June 30 of the following year. Taxpayers are […]


Tax allowance for invested profits (Freibetrag für investierte Gewinne)

We would like to remind you of a tax break for small and medium sized companies and individuals in Austria. This tax break is called tax allowance for invested profits.Individuals and partnerships can profit by the tax allowance for invested profits. The tax allowance for invested profits is applicable as well as for taxpayers with cash method of accounting (Einnahmen-Ausgaben […]


Draft of Austrian Tax Amend-ment Act 2012 – New invoicing rules in Austrian VAT Act

The draft of the Austrian Tax Amendment Act in 2012 includes changes in the area of invoicing which are due to come into force on 1 January 2013. Electronic invoicing. New, simplified provisions have been set out for electronic invoicing. In future, electronic invoices that are received in electronic format (e.g. as a PDF) via email, as an email attachment or […]


Austrian real estate capital gains – new taxation

Taxation until March 31, 2012 Capital gains from selling privately owned real estate properties were only taxable within the speculation period of 10 years after acquisition. Gains within the specula-tion period were taxed at up to 50% per-sonal effective income tax. Real estate dis-posals after the speculation period were not subject to the Austrian income taxation. New taxation starting as […]


Expenses for child care – tax deductible

Expenses for child care are tax deductible for children until the age of 10 (for disabled children until 16). The maximal amount which can be deducted is € 2.300 per year. The tax deduction will be treated as an extraordinary burden. The tax office only accepts expenses for child care and not school fees. Before the attendance of the elemantary […]