Measures of the Austrian Tax Reform Law 2009

  • Reduction of tax rates on salaries and income
  • Increase of the exemption limit and changes concerning the reduced tax rate of other receipts.
  • Increase of the child tax credit from € 50.90 to € 58.40/month
  • Analogue adjustment of the single-parent tax credit
  • Introduction of a child tax-free amount of € 220/child/year
  • Deductibility of child care costs up to € 2,300/child/year for children up to an age of 10
  • Tax exemption for employers’ subsidies for child care up to € 500/child/year
  • Change from the tax-free amount for profits invested by entrepreneurs subject to accounting to a tax-free amount for profits as from 2010: the tax-free amount will be increased from 10 % to 13 % and the requirement for investing profits will be abolished up to € 30,000
  • Abolishment of the preferential taxation for retained profits as from 2010
  • Abolishment of the preferential tax treatment of stock options as from 1 April 2009
  • Tax deductibility of donations for humanitarian purposes, for development cooperation and emergency aid up to 10 % of the profits or income of the previous year
  • Increase of the maximum deductible amount of contributions to churches to € 200 as from 2009.

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