Although there are only about 9 Million people living there, Austria is becoming more and more interesting for online sellers in Europe. To make sure that sales in Austria are successful and that everything runs smoothly in terms of tax law, we have summarized everything you need to know about VAT and the advance VAT return in Austria.
Antonia KlattLast Updated on 29 October 2020
For whom is the advance VAT return relevant in Austria?
If, as a European company, you sell products to Austria, this is quite simple for the time being: The VAT is calculated in the country of origin.
But: As soon as you exceed an annual turnover of 35.000,- EUR with sales to Austria, it becomes costly as a VAT registration will be necessary on site.
However, this will only be relevant until 01.07.2021 when the VAT registration threshold in Europe gets unified.
More about the Advance VAT Return in Europe
Granting of an Austrian Advance VAT Return
For the allocation of a VAT ID in Austria, a corresponding application must be submitted to the tax office in Graz-Stadt. In order for the tax number and VAT ID to be assigned, various information must be submitted:
- Questionnaire (Verf19) for the issue of the VAT identification number
- Signature specimen sheet for corporations (Verf26) in original
- Copy of the extract from the commercial register and / or the articles of association (applies to corporations)
- Original proof of registration as entrepreneur (U70)
If these documents have been correctly submitted to the tax office in Graz-Stadt, an assignment of the tax number can be expected within a few days or weeks. From now on, this number must be indicated on all invoices and in communication with the tax office.
VAT Registrations & Returns
Submit an Advance VAT Return
How often you have to file an advance return for VAT with the Austrian tax authorities depends on your turnover. If your net annual turnover is less than 35.000,- EUR, you are exempt from VAT due to the small business regulation and therefore do not have to submit an advance return. If you waive the small business regulation despite your low turnover, you have to submit quarterly.
If your turnover exceeds 35.000,- EUR, but is not more than 100.000,- EUR, you have to submit quarterly advance VAT returns. If your sales break through the 100,000 mark annually, you are required to submit your returns on a monthly basis.
The respective advance VAT returns must always be submitted on the 15th of the month after next. Anyone who is obliged to pay a monthly tax must submit it for January, for example by 15 March. Those who submit their quarterly advance VAT returns must therefore submit them by 15 May for the first quarter (January to March). The due payment must be made by the same date in each case.
In case of late submission, a late surcharge of up to 10% can be charged. In the case of late payment, a late payment surcharge of 2% to 4% can be added.
Submission of the advance VAT return
Advance VAT returns must be submitted exclusively via FinanzOnline, the Austrian tax online platform. The only exceptions are if you or your tax representative do not have an Internet connection. In this case you can use the U30 form.
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What happens if there is a surplus?
Whoever sets up VAT and input tax does not necessarily have to transfer to the tax office. In the same way, it can of course also happen the other way round that more input tax was paid than VAT was collected and therefore the tax office has to pay something back to the taxpayer. If the credit balance is therefore greater than the tax, the taxpayer can fill out and submit the AS 30 form.
If he would like to have the difference transferred, the AS 32 form is the right choice. If you would like to have the difference paid to another tax account, you can use form AS 31.