THE MAIN CHARACTERISTICS OF AUSTRIA COMPANY

Formation

Legal form Joint stock company (AG) Private Limited company (GmbH)
Minimum Subscribed Capital EUR
70 000
EUR
35 000
Minimum Paid-up Capital EUR
70 000
EUR
17 500
Number of Shareholders 1 1
Type of Shares Registered Registered

Taxation

Capital duty 1%
Net Worth Tax 0%
Corporate Income Tax 25%
Double Tax Treaties Yes
Dividends Exemption 100%
Holding Requirements 10% and 1 year 15% corporate tax
Capital Gains Exemption Yes
Tax Credit Yes
Relief of Losses Carry forward indefinitely
CFC Rules No
Debt-to-Equity Ratio No

Withholding taxes

Dividends EU Parent Co – 0% Treaty countries – 0% – 10% Others – 25%
Interest EU Parent Co – 0% Treaty countries – 0% – 10% Others – 25%
Royalties EU Parent Co – 0% Treaty countries – 0% – 10% Others – 25%
Liquidation Nil
Location of meetings Anywhere

Presentation of jurisdiction

Located in the heart of Western Europe, Austria is a prosperous and sophisticated business center and it has acted for centuries as a European commercial gateway. The strong Austrian economy relies on international trade and the country’s GDP continues to increase, reaching to be one of the highest in the region. The Austrian Holding Company is an ordinary company which falls within the scope of general tax law and may benefit from the double taxation treaties concluded by Austria and the EU tax directives.

The Austrian Holding Company offers numerous benefits for different financial and commercial activities. Bellow you can find one who can immediately benefit and profit from the services of Austrian Holding Company and which activities will optimize taxes to a major degree.

who should choose Austria Company and what activities benefit the most

Who?

  • Entrepreneurs;
  • Consultants;
  • Stockbrokers.

Which activities?

  • International trade;
  • Inheritance tax purposes;
  • Holding of intellectual property rights (IP);
  • Ownership of movable and immovable property;
  • E-Commerce.

INTEREST OF THE JURISDICTION OF Austria

Advantages of a company in Austria:

  • No withholding tax on dividends paid to foreign parent company.
  • Dividends tax is not applicable when income comes from a foreign subsidiary.
  • Member state of the European Union.
  • Accessibility for a large network of double taxation treaties.

Disadvantages of a company in Austria:

  • High Corporate Tax of 25%.
  • A minimum share capital of EUR 35,000 is required to be paid up.

How to proceed

To incorporate or purchase a company the following documentation should be provided:

  • A completed application form signed by the company or by the representative;
  • Copy of valid passport;
  • A personal bill, which is less than 3 months old from the date of the application;
  • Payment of our fees.

Note: additional documents may be required depending on the certain offshore bank.

Set-up time: From the moment, we are in possession of all required documents:

  • Incorporation of a company or purchase of an existing company: 3 days;
  • Delivery of the original company documents: 15 days;
  • Offshore Bank: offshore bank account opening: 3 weeks.