Art trade benefits: Tax reform as a glimmer of hope for Austria

Art trade benefits: Tax reform as a glimmer of hope for Austria

Laimgrubengasse 10, 1060 Wien, Österreich - good news for the Austrian art trade! The latest plans of the Federal Government, which were presented in the government program, have crucial measures that should significantly strengthen the industry. Horst Szaal, the deputy chairman of the interest representation of art and antique trade, was relieved about the announcements. The planned reduction of the sales tax rate on art objects and the possibility of tax deductibility of private and entrepreneurial art purchases have long been required that could now become a reality. These would not only boost the art trade, but also support artists and consolidate Austria's position as a cultural nation, reports ots.at

New Income Tax Act in Planning

The Federal Government also plans a new income tax law to update and simplify the existing Income Tax Act of 1988. The announced key points include the extension of the top tax rate of 55 % by four years and measures to combat the cold progression by suspending a third of the inflation adjustment in the income tax rate. Further simplifications in wage accounting and employee assessment are also on the agenda.

These reforms should not only reduce the tax burden, but also create incentives to promote overtime and increase employment. Among other things, the planned changes include an increase in the allowance for additional payments such as the 13th and 14th monthly salary as well as tax benefits for employer grants. These ambitious plans have the potential to moderate Austrian tax law comprehensively, as kpmg.com