Austria Announces COVID-19 Tax Relief Package For Catering Industry
Friday, May 15, 2020
On May 11, 2020, the Austrian Ministry of Finance announced a EUR500m (USD542m) package of financial and tax measures to support the hospitality industry, which is being hit particularly hard as a result of the restrictions in place to contain COVID-19.
The main tax measures in the package include the following:
- Non-alcoholic beverages will be subject to value-added tax at 10 percent instead of 20 percent until the end of 2020;
- The tax-free limit for meal vouchers will be increased from EUR4.40 to EUR8;
- The tax on sparkling wine will be abolished; and
- The deduction for business meal costs in inns will be increased from 50 percent to 75 percent.