Employers who have been affected by business restrictions or closures due to the Austrian government directive, Austrian Federal Law Gazette (BGBl) II 2020/96, or a ban on access under the Austrian Epidemics Act (BGBl II 2020/74), have benefited since March 2020 from an automatic, interest-free deferral of payment of social security contributions for the contribution […]
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A recent decision of the Austrian Federal Financial Court (BFG) considered the question as to whether foreign income must be taken into account in Austria under an “exemption with progression” clause even if Austria is not the state of residence under treaty law. The BFG takes the view that in cases of unlimited tax liability […]
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The COVID-19 pandemic has implications for the taxation of income of cross-border workers, as the allocation of taxation rights under tax treaties depends, among other things, on where the the activities are carried out. The duration of activities and the length of stay in a country are decisive factors for taxation and the creation of […]
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These unprecedented times have brought insecurity and new risks. A variety of new measures have changed the way we live our lives. Most of us have never experienced anything like social distancing, a concept and approach which has significant implications for many working activities. Politicians and business leaders must take decisions which they have not […]
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On 16 April 2020, the Austrian Ministry of Finance (BMF) published a consultation agreement concluded between Austria and Germany (Decree of 15 April 2020, 2020-0.239.636, BMF-AV Nr. 55/2020). The goal of the agreement is to limit the individual impacts during the COVID-19 restrictions as far as possible for all employees who work cross-border between Austria […]
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The rapid development of the COVID-19 outbreak, the massive interventions in business life and the new way of working together also influence the work of global mobility teams and seconded employees worldwide. To find answers to current questions and to better understand how companies are responding to these changes in relation to their globally mobile […]
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Suddenly, the exception has become the rule. This applies to many areas during this coronavirus pandemic – and to the world of work in particular. In the past (before the present crisis), many companies had already addressed the topics of working from home, remote working, or virtual teams. But these issues have been moved up […]
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1. Tax-free allowance for bonuses and special payments employees receive in connection with the COVID-19 crisis (Section 124 subpara 350 Austrian Income Tax Act (EStG), Section 49 para 3 subpara 30 Austrian General Social Insurance Act (ASVG)) An allowance of up to EUR 3,000, free from both income tax and social security contributions, will be granted in the calendar year 2020 […]
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For individuals involved in cross-border activities – whether business travel, short-term or long-term assignments, or regular activities in multiple states – it is necessary to check whether the social security or tax situation will change if a greater proportion of activities are carried out from a home office. Social security For cross-border working, the […]
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Now that the United Kingdom has withdrawn from the European Union, many questions arise in connection with the social security status of employees posted to/from the UK, or employees who regularly work in both the UK and Austria: In which state will social security obligations exist? Will A1 forms still be issued? What will change […]
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