Austria Corporate Income Tax
Detailed corporate income tax rates and rules for Austria in 2026.
Austria levies corporate income tax (Körperschaftsteuer) at a flat rate of 23%, reduced from 25% effective 2024. A minimum corporate tax of €1,750 per year applies to GmbHs (limited liability companies) and €3,500 for AGs (joint stock companies). The minimum tax is creditable against future tax liabilities. Austria applies the participation exemption for dividends and capital gains from qualifying international subsidiaries (minimum 10% holding for at least one year).
Standard Rate
23%
Additional Notes
Austria offers a group taxation regime (Gruppenbesteuerung) allowing Austrian parent companies to include the profits and losses of qualifying Austrian and foreign subsidiaries. For foreign subsidiaries, only losses may be included (and must be recaptured if the subsidiary becomes profitable). Austria has implemented EU Anti-Tax Avoidance Directives including interest deduction limitation (30% of EBITDA or €3 million) and CFC rules. Tax losses can be carried forward indefinitely but offset is limited to 75% of current income.
How Austria Corporate Tax compares
Austria’s corporate tax rate of 23% is the 111th highest of 203 countries TaxAtlas tracks, above the global average of 22.2% and Europe’s regional average of 19%.
