background image

Austria 2017 Tax Amendments Overview and Transfer Pricing Documentation Regulation — Orbitax Tax News & Alerts

The Austrian Ministry of Finance has issued an overview of tax changes for 2017, including several resulting from various EU directives regarding transparency and information exchange. The main changes include:

  • A new beneficial ownership registration requirement through the Company Service Portal (USP);
  • The automatic exchange of financial account information between EU and non-EU countries;
  • The automatic exchange of tax rulings and advanced pricing agreements;
  • The standardization of VAT rules regarding real estate transactions in line with the EU.

Click the following link for the Ministry of Finance overview (German language).

In addition, the regulation setting out Austria's new Master and Local file requirements based on BEPS Action 13 has been published in the Official Gazette ({News-2016-07-22/A/2- previous coverage}).

The Master file requirements are broken down into five main areas, including:

  • The organizational structure of the group;
  • The business activities of the group;
  • Documentation concerning intangible assets;
  • Documentation concerning financial activities; and
  • Documentation concerning the group financial and tax position.

The Local file requirements are broken down into three main areas, including:

  • A description of domestic business unit's business, including management structure and business activities;
  • Documentation concerning intragroup transactions involving the domestic business unit, including a description of transactions, identification of related parties involved, a comparability and functional analysis, etc.; and
  • Financial information, including annual financial statements and details of financial data used in transfer pricing.

The regulation also includes a brief provision regarding CbC reporting, which provides that the additional information included in the CbC report (table 3) should be in English.

Click the following link for the documentation regulation (German language), which applies for fiscal years beginning on or after 1 January 2016.