Austria, located in Central Europe, and bordered by eight countries, has nine federal states with Vienna as its capital. It is a largely mountainous country due to its famous location in the Alps.
The 12th richest country in the world in terms of GDP per capital, Austria has a well-developed social market economy, and a high standard of living, making this country a popular place to live. Tourism is important source of income to the economy, along with a mixed industrial and agricultural economy.
With over 5 years’ experience the Austrian and European Tax Law, CXC Global can assist clients with their local tax and social security registration as well as with queries relative to banking, outsourcing, relocation, and local invoicing.
The Home of Mozart has long-standing and extensive social-security legislation. The system includes mandatory health, accident, pension and unemployment insurance. It does not cater for freelance workers, and expects everyone to be employed and pay social security.
Contracting in Austria is not a simple task. Austrian tax law distinguishes between unlimited and limited tax liability for companies but individuals pay high taxes. To facilitate contractors and foreign nationals working in Austria and in various countries, Austria has entered into Double Taxation Treaties with other around 85 countries.
For contract workers, working in Austria, it would be wise to consult with CXC Global on the best way to structure, and how best to balance your taxation.