Germany vs Austria Tax Comparison
Side-by-side comparison of tax rates and systems
Tax Rate Comparison
Rate Comparison
Top Income Tax
45%Lower
55%
Corporate Tax
30%
23%Lower
Capital Gains
26.4%Lower
27.5%
VAT / Sales Tax
19%Lower
20%
| Category | ||
|---|---|---|
| Tax System | Progressive | Progressive |
| Top Income Tax | 45% | 55% |
| Corporate Tax | 30% | 23% |
| Capital Gains | 26.4% | 27.5% |
| VAT / Sales Tax | 19% | 20% |
| Crypto Tax | Yes | Yes |
| Wealth Tax | No | No |
| Tax Treaties | 95 | 90 |
| Currency | EUR | EUR |
The bottom line: Germany vs Austria
Germany has the lower headline rate on 3 of the four main taxes (income, corporate, capital gains and VAT), making it the lighter-taxed of the two on paper. Germany runs a progressive tax system, while Austria uses a progressive one. Germany has the wider tax-treaty network (95 agreements), which can reduce withholding tax on cross-border income.
- Income tax: Germany is lower (45% vs 55%)
- Corporate tax: Austria is lower (30% vs 23%)
- Capital gains tax: Germany is lower (26.4% vs 27.5%)
- VAT / sales tax: Germany is lower (19% vs 20%)