AUSTRIA Trends and Developments Contributed by: Raphael Holzinger, Julia Hochreiter, Matthias Jancura and Claudia Synek, Grant Thornton Austria
The MinBestG came into force on 31 Decem - ber 2023. The NES and PES provisions will be applied for the first time to financial years begin - ning on or after 31 December 2023; however, the SES provisions will largely only be applied to financial years beginning on or after 31 Decem - ber 2024. Public CbCR The law is the implementation of an EU Direc - tive (Directive (EU) 2021/2101) and builds on the existing obligation to submit “classic” CbCR. The “classic” CbCR is not publicly accessi - ble but, rather, is only shared between the tax authorities as part of the automatic exchange of information. The public CbCR ensures greater transparency. The aim is to share more informa - tion on the tax burden of multinational groups with the public. The law primarily affects ultimate parent com - panies and unaffiliated companies that have achieved turnover in excess of EUR750 million in two consecutive years. If the ultimate parent company is not subject to the law of an EU or European Economic Area (EEA) member state, the reporting obligation may also be transferred to the subsidiary or branch in Austria. Subsidiar - ies and branches are, in any case, exempt from the reporting obligation if their ultimate parent company or unaffiliated company has published and made available the report within one year of the reporting date. The reporting entity must prepare an annual country-by-country income tax information report with detailed information. The informa - tion includes the name of the ultimate parent company, a list of subsidiaries, a description of business activities, the number of employees,
earnings before income tax, and the amount of income tax still to be paid and already paid in the reporting year. The public CbCR must be sub - mitted to the Commercial Register Court within 12 months of the balance sheet date (for stand - ard financial years, therefore, for the first time by 31 December 2026 at the latest). The information (or the information via a free request to the com - mercial register) must also be available on the company website or the website of the branch office for at least five years. Revision of Austrian Transfer Pricing Guidelines The first Austrian Transfer Pricing Guidelines (ATPG) was published in 2010, based on the most recent OECD Guidelines. The 2021 ATPG has been extensively revised to take into account the latest OECD work and current national and international case law. In addition, the 2021 ATPG has been revised in 2025( “Wartungser- lass 2025” ). The revised ATPG again takes into account the latest work of the OECD as well as current national and international case law. In summary, some of the relevant changes con - cern: • the treatment of pass-through costs; • the need for comparability of accounting rules; • the treatment of shareholder expenses; • the significance of the group rating for the rat - ing of a group company; • cash pooling;
• intra-group contract research; • changes in group structure; • permanent establishments; and • transfer pricing documentation.
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