Austria Personal Income Tax
Detailed personal income tax rates and rules for Austria in 2026.
Austria applies a progressive income tax (Einkommensteuer) with seven brackets ranging from 0% to 55%. The top rate of 55% applies to income exceeding €1 million. Austria reformed its brackets in 2023-2024 to combat bracket creep caused by inflation, with thresholds adjusted accordingly. Employees benefit from various tax credits including the employee tax credit (Verkehrsabsetzbetrag) of €421 and the sole earner/single parent credit.
| Income Range (EUR) | Tax Rate |
|---|---|
| €0 – €13K | 0% |
| €13K – €21K | 20% |
| €21K – €35K | 30% |
| €35K – €67K | 40% |
| €67K – €99K | 48% |
| €99K – €1.0M | 50% |
| €1.0M+ | 55% |
Filing Deadline
April 30 for paper filing; June 30 for electronic filing (extensions available until the following year if using a tax advisor)
Residency Rule
An individual is an Austrian tax resident if they have a domicile (Wohnsitz) or habitual abode (gewöhnlicher Aufenthalt, generally more than 6 months) in Austria. Residents are taxed on worldwide income. Non-residents are taxed only on Austrian-source income.
Additional Notes
Austria offers a 13th and 14th month salary (Urlaubs- und Weihnachtsgeld) that is taxed at a flat rate of 6% on the first €620, making these payments highly tax-favored. This is a distinctive feature of the Austrian tax system. Austria does not impose church tax through the tax system (churches collect their own contributions directly).
How Austria Income Tax compares
Austria’s top personal income tax rate of 55% is the 4th highest of 203 countries TaxAtlas tracks, above the global average of 27.7% and Europe’s regional average of 32%.
