Fiscal representative in Austria: what you need to know about representation in VAT issues

Foreign companies that make taxable sales in Austria have to fulfill certain tax obligations. For this purpose, non-EU companies are required to have a fiscal representative in Austria. We explain what a fiscal representative is, what he does and why he is helpful.

What is a fiscal representation?

A fiscal representative is a service provider who represents a company in Austria in VAT matters. The following service providers, among others, can act as fiscal representatives:

• Tax consultants
• Lawyers
• Accountants and sworn auditors
• Notaries
• Forwarding companies, insofar as they provide assistance in matters of import duties and are members of the professional association of the Austrian Chamber of Commerce
• Specialized companies

You can find more information on fiscal representation in the European Union on our overview page. While fiscal representation can bring many advantages, the appointment of a fiscal representative in Austria is even mandatory under certain circumstances.

What does a fiscal representative in Austria do?

The fiscal representative takes care of all necessary tax matters in connection with customs and VAT. His tasks include:

• Analysis of tax obligations
• Accounting
• VAT registration
• Contact with authorities

The fiscal representative in Austria first takes care of the VAT registration and ensures that you receive all the necessary local numbers, such as the VAT identification number and EORI number. He also takes care of compliance with tax obligations, such as the payment of VAT and the submission of VAT returns, Intrastat returns, invoices and customs documents. In addition, the customer and supplier accounting is simplified and the fiscal representative is authorized to deliver documents, so he acts as a contact person for the local authorities and thus simplifies communication.

In Austria, in accordance with Section 27 of the VAT Act, the fiscal representative not only concerns himself with VAT issues, but also takes care of:

• Wage taxes
• Flight taxes and
• Insurance tax

When do I need a fiscal representative in Austria?

A fiscal representation in Austria is necessary if a company makes taxable sales in Austria and has neither a place of residence nor a permanent establishment in the EU.

Taxable sales are those for which there is no transfer of tax liability. First and foremost, it is about domestic deliveries or trade in goods in Austria and deliveries to Austrian private individuals. But also

• the import of goods from other EU countries to Austria
• the export of goods to other EU countries from Austria
• the acquisition of goods in Austria that come from an EU member state
• the sale of goods to an EU member state from Austria
• the sale of goods and services to Austrian consumers via a marketplace
• the sale of goods from EU member states to Austrian private individuals and exceeding the EU-wide EU distance selling threshold of €10,000 for all cross-border B2C sales within the EU (unless the OSS scheme is used)
• the organization of local events and conferences

count as taxable transactions. If a company makes such transactions, it has to register for VAT in Austria, receives an Austrian VAT identification number and has to submit VAT returns.

Since 2004, the EU no longer allows Member States to require fiscal representatives for companies established in the EU. If your company is based in an EU Member State and registered there for VAT, there is no legal obligation to appoint a fiscal representative in Austria. However, professional advice and optional representation in Austria is still recommended so that deadlines are met, obligations are fulfilled and penalties are avoided.

However, fiscal representation is absolutely necessary for foreign companies. If the company does not have a registered office or a permanent establishment within the EU, there is a fiscal representative obligation in Austria according to §27 of the VAT Act. Foreign non-EU companies are therefore obliged to appoint a representative for tax purposes.

Appointment of a fiscal representative in Austria

If a foreign company carries out tax-relevant sales or carries out sales to Austrian individuals, the prerequisites for the appointment of a fiscal representative in Austria are met and a representative must be appointed.

Austrian companies that want to act as fiscal representatives must obtain permission from the central tax office in Graz. This is granted if there is a place of residence or a company headquarters in Austria and the representative fulfills the tax obligations of the company to be represented. However, the approval can be revoked at any time.

For official information from the Austrian tax authorities, you can also consult the Ministry of Finance page on tax representatives (Steuervertreter) in Austria:
Austrian Ministry of Finance – Tax Representative

Fiscal representation in other European countries

In other European Union countries, the obligation to appoint a fiscal representative usually only affects non-EU companies and depends on local legislation and on whether there is a mutual assistance agreement in place with the country of establishment. This means that the requirement is not identical in all Member States and must be checked country by country

You can find more information about the local characteristics in terms of fiscal representation on the country-specific pages:

country	mandatory fiscal representation for non-EU companies and sellers
Germany	no general obligation (normally not required)
Netherlands	no general obligation (mainly in specific customs/VAT schemes)
Austria	yes, generally required under §27 UStG
Poland	generally yes, with exceptions for some countries with agreements
Czech Republic	no general obligation
Spain	generally yes, with exceptions for some countries with agreements
Italy	generally yes, with specific conditions and guarantees
France	generally yes, with exceptions for some countries with agreements

*Exact requirements depend on the local VAT law and on whether the non-EU country has a mutual assistance agreement with the EU or the specific Member State.

Sellers who are active in several European countries simultaneously should learn more about the services of specialized fiscal representation or VAT companies. These usually employ several local representatives who communicate with each other within the company, thereby further reducing the administrative and financial burden on dealers. One such company is hellotax. Our team of specialized tax advisors can take care of your VAT registration, filings, and VAT collection in many European countries.

Contact us today and simplify the handling of your tax obligations.

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