(Specific) changes through the 2012 Budget Accompanying Law

In mid-November 2011, the Budgetary Accompanying Act 2012 was passed by the National Council. The final version also introduces changes regarding the „Capital Taxation Revised“ This document outlines important changes and innovations. They generally come into effect on 1 January 2012.

Income Tax Act

Automatic loss offset in private assets

As already reported in AI 6/2011, it occurs Automatic withholding tax in the cases of „wealth growth taxation“ from 1 April 2012 into force. Previously, the intention was to levy the 25% capital gains tax only on profits arising from capital appreciation. The KESt will from the bank in an automated process deducted and paid to the tax office. Under the previous regulation, the losses had to be offset in the assessment process. Ab dem January 2013 are now the Banks additionally obliged, a loss carry-forward to be carried out. This regulation is advantageous for the taxpayer, as the Losses taken into account immediately and not only with a time delay after the assessment has been made. Loss offsetting applies to all accounts held with the same bank. A Offsetting losses between Depots at different credit institutions consequently Not provided for - the taxpayer is once again left with no option but to go through the assessment process. For the transitional period of 1 April 2012 to 31 December 2012 doesn't the bank have an obligation to conduct ongoing loss compensation? However, it must, by 30 April 2013, subsequent loss offset undertake.

Changes to favoured donation recipients

The regulation of tax-deductible grants to institutions with research and teaching tasks based in Austria was, in June 2011, deemed by the ECJ as Contrary to EU law qualified. Now favours all facilities, which is based in a EU country or in one Third country, Met a comprehensive Mutual assistance agreement exists, is held, and corresponds to a favoured domestic institution. In addition, the International Anti-Corruption Academy has now also been included in the circle of favoured recipients of donations.

No expansion in contract research

In the draft review of the 2012 Budget Amendment Act, it was still intended to Cap of the expenses for Contract research for claiming the research premium to lift. However, this amendment is no longer found in the final wording of the law. Consequently, also further at Contract research the expenses with maximum €100,000 limited.

Partial reintroduction of the sole earner's tax credit – increase in the pensioner's tax credit

With Beginning of the year 2011 was was Sole earner allowance for taxpayers without Childcare obligations abolished and as compensation for pension income under €13,100 Pensioner's tax-free allowance to the same extent increased. However, since the sole earner's tax credit provides advantages in the area of special expenses and extraordinary burdens, its removal could lead to disadvantages. The Budgetary Law 2012 corrected this Disadvantage, whereby under certain conditions, increased special expenses can also be claimed if there is no entitlement to the sole earner's tax credit. The pensioner's tax credit of €764 will in the future be available to pensioners with a taxable income of bis to 19,930 € per year up to – previously, the limit was €13,100. This is conditional on the spouse's annual income not exceeding €2,200.

Corporation Tax Act

Expansion of taxation of capital income for companies with limited tax liability

With the change, the Tax liability domestic Public law corporations as well Corporations exempt from corporate income tax open all capital income extended. The reason for this was the unwanted negative incentive for investments in previously untaxed income from, for example, risky unsecuritised derivatives. However, Income from housing development loans of countries from taxation except.

Land Transaction Tax Act

Donations of property to foundations

Property-related grants to foundations were So far with the beneficiary Foundation entry tax rate taxed at 2.5%. In future, and due to the classification of the property-related valuation rules of the Foundation Entrance Tax Act also unconstitutional, are these processes direct is regulated in the Real Estate Transfer Tax Act, using a tax rate of 3.5%. In the case of gratis property acquisitions through the foundation or if the value of the consideration under dem half of the common value If it lies, it will lead to a increased tax rate from 6%. This 6% corresponds to the land transfer tax of 3.5% and a compensation payment of 2.5% for the waiver of the foundation registration tax. The current provision in the (Austrian) Real Estate Transfer Tax Act means that the Acquisition of foreign property in the future no taxation in Austria is subject to.

Image: © Kurt Kleemann - Fotolia