1E9Ct5D

iithe home is used for not more than 70 days per year;proper records on the use of the home are kept; andno ordinary tax residence is established in Austria within five years.d. Dual-Resident CompaniesThe place of management will determine where the company is resident for taxpurposes, while, in Austrian domestic tax law, the place of incorporation is decisive. Inthe case of European Union (EU) Companies, the Parent Subsidiary Directive mayoverride treaty provisions between Austria and other European Union Member States.e. Resident ForeignersResidency for Tax Purposes: If a foreigner meets the residency test under the applicabledouble-taxation treaty, he/she will be considered resident in Austria for tax purposes,irrespective of nationality or any valid residency permit.Third-Country Persons Seeking Eligibility for Treaty Purposes: If a third-country personactually establishes a residency for tax purposes in Austria, he/she will be treated astax-resident in Austria and will be subject to taxation in Austria of all income worldwide.Permanent travellers will be treated as resident in Austria if they meet the lowest formof residency under the Federal Tax Code (availability of a place to stay in Austria),unless they are able to prove that they are taxed on their worldwide income by anothercountry.Taxes coveredTypically, all income and corporate profit taxes are covered under Austria’s double-taxationtreaties and, where relevant, wealth taxes. Austria does not levy wealth, gift or inheritancetaxes.iiiExchange of InformationMost double-taxation treaties contain the exchange-of-information clause of the OECD ModelTreaty.As a result of Austria’s bank secrecy, in the past the actual exchange of information wasfrequently not possible because Austrian banks refused to disclose details of bank accounts offoreign customers unless criminal proceedings had already been commenced by a court.Austria has now fully implemented the OECD standards and relaxed its bank secrecy rules inrespect to foreign account holders, allowing Austrian banks to reveal account informationwhere there is a specified request for information as a bank customer.In addition, other bilateral and multilateral treaties of mutual assistance in both administrativeand criminal matters and EU Directives require an exchange of information.Group requests for information are currently not possible in Austria.ivAssistance in CollectionsAs a general rule, foreign revenue debts are not enforceable in Austria, either againstresident individuals or corporations with assets in Austria. A foreign revenue debt is onlyenforceable if so provided in a bilateral agreement. At present, the following double-taxationtreaties provide for assistance in collections:France;Germany;Norway; andUSA.- 25 -