GoNo trade tax
Unlike Germany there is no municipal profit tax — the 23 % corporate tax is the entire company tax.
Company formation
Company Formation in Austria
Austria offers stable conditions, no trade tax and, with the FlexCo introduced in 2024, a startup-friendly limited company. GmbH formation runs via notary and company register; digital formation via the business service portal (USP) is possible. Legal status: 2026, without guarantee.
23 % corporate taxGmbH/FlexCo from €10,0002–3 weeksno trade tax
Key figures
Austria at a glance
23 %
Corporate tax (since 2024)
10.000 €
Minimum capital GmbH/FlexCo
2–3 weeks
Typical formation time
14 %
Research premium (paid out)
Advantages
What speaks for Austria
FlexCo for startups
The FlexCo introduced in 2024 enables simple employee participation via enterprise-value shares.
Strong subsidies
14 % research premium (paid out), aws and FFG programmes plus NeuFöG exemptions at formation.
Tax comparison
Example: €100,000 profit
| Germany | Austria | |
|---|---|---|
| Corporate tax | ~30 % (effective) | 23 % |
| Tax on €100,000 profit | ~€30,000 | €23,000 |
| Special feature | Municipal trade tax | no trade tax, 14 % research premium |
Distributions are subject to 27.5 % capital gains tax; profit allowance (up to 15 %) for sole proprietors/partnerships.
Legal forms
Legal forms at a glance
| Legal form | Minimum capital | Liability | Typical use |
|---|---|---|---|
| GmbH | €10,000 (min. €5,000 paid in) | limited | Standard SMEs |
| FlexCo / FlexKapG (since 2024) | €10,000 | limited | Startups, employee participation |
| Sole proprietorship | none | unlimited | Freelancers, entry level |
| OG / KG | none | (partly) unlimited | Partnerships |
Process
How incorporation works
Legal form & capital
Choose GmbH or FlexCo, plan the capital.
Articles of association
Notarial deed or USP standard articles (digital formation).
Company register
Registration in the Firmenbuch.
Bank account + capital
Open the account, pay in the share capital.
Tax office / VAT ID
Tax registration and VAT number.
Social security + trade licence
SVS/ÖGK registration and trade licence.
Usually 2–3 weeks.
Costs
Costs (indicative)
Notary ~€400–800, company register ~€300, NeuFöG exemptions possible; total incl. capital depends on the case (indicative).
Taxes
Corporate taxes
| Item | Rate |
|---|---|
| Corporate income tax | 23 % (since 2024) |
| Capital gains tax on distributions | 27.5 % |
| Trade tax | none |
| Research premium (R&D) | 14 % (paid out) |
Profit allowance (up to 15 %) for sole proprietors and partnerships.
Knowledge check
Worth remembering
Tap a card to reveal the answer. Content AI-assisted and editorially reviewed.
Corporate tax in Austria?
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23 % (since 2024).
New legal form since 2024?
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FlexCo (FlexKapG) — with enterprise-value shares.
Research premium?
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14 %, paid out.
Location in numbers
Austria in numbers
| Metric | Value |
|---|---|
| Company formations 2025 | ~40,000 |
| FlexCo registrations (2024–Aug 2025) | ~1,300 |
| New GmbHs per year | ~8,000–10,000 |
| FlexCo share of formations 2025 | 0.7 % (45 % of them in Vienna) |
Latest developments
Latest developments (as of July 2026)
- FlexCo review 2025: ~1,300 registrations (“success with repair needs”).
- Corporate tax cut to 23 % since 2024.
- Digital formation via the USP portal established.
FAQ
Frequently asked questions about Austria
GmbH or FlexCo?
Both €10,000 capital; the FlexCo enables simple employee participation (enterprise-value shares).
How high is the corporate tax?
23 % since 2024.
Is there a trade tax?
No.
How fast is formation?
Usually 2–3 weeks.
Related countries
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effective from ~12 %GmbH from CHF 20,000
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Italy
IRES 24 %SRLS from €1
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Sources & disclaimer
Sources
This page is for general information only and does not replace legal or tax advice. Binding information is provided by the competent authorities of the respective country and by lawyers, notaries and tax advisors licensed there. For the tax consequences of relocating from Germany or Austria, tax advisors licensed in those countries are responsible. All information without guarantee. Status: July 2026. For an individual assessment: contact@goglobal.associates.
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