How much you pay in Austria depends on how you earn, so here are all three pictures: an employment contract, self-employment and running your own company. Real headline rates, verified July 2026.
As an employee
Income tax: Progressive 0-55% (top rate above ~€1M, kept until 2030). Social contributions: ~18% employee, ~21% employer on top.
13th and 14th salaries are taxed at reduced rates, which softens the effective burden for employees. Rates as of July 2026. Tax rules change every budget cycle and depend on your personal situation: verify with a licensed tax advisor before acting.
As a freelancer or sole trader
Income tax: Same progressive brackets on profit. Social contributions: SVS self-employed insurance ~27% of profit.
No flat regime; small businesses get a VAT exemption up to €55k turnover, not an income-tax break. Rates as of July 2026. Tax rules change every budget cycle and depend on your personal situation: verify with a licensed tax advisor before acting.
As a company owner
CIT 23%. Dividends 27.5%.
CIT was cut to 23% in 2024; combined company-plus-dividend burden lands around 44%. Rates as of July 2026. Tax rules change every budget cycle and depend on your personal situation: verify with a licensed tax advisor before acting.
Two rules that apply everywhere
Tax residence usually follows your life, not your paperwork: spend 183+ days in Austria (or keep your centre of vital interests there) and you generally owe taxes there regardless of visa or company setup.
Special regimes and treaty rules can change these numbers dramatically in both directions. This page is educational information, not tax advice: before you commit to a structure, have a licensed Austria tax advisor confirm the current rules for your specific case.