Austrian Parliament Considering Tax Amendment Act 2025 Including Income Tax Adjustments and Updates to Pillar 2 Rules

The Austrian Parliament is considering the draft Tax Amendment Act 2025 (AbgÄG 2025), which is open for public comment until 3 November 2025. Important measures mainly concern individual income tax and the Pillar 2 global minimum tax:

• An increase in the individual income tax brackets:
  • up to EUR 13,359 - 0%
  • EUR 13,359 to 21,992 - 20%
  • EUR 21,992 to 36,458 - 30%
  • EUR 36,458 to 70,365 - 40%
  • EUR 70,365 to 104,859 - 48%
  • EUR 104,859 to 1,000,000 - 50%
  • over EUR 1,000,000 - 55%
• Increases of various…