Doing business in Austria - PKF

Grants and
Incentives
General Introduction
Austria offers a comprehensive system of both national and local
incentive programs, depending on the geographic location, the
potential for creating new jobs, the technology used, the size of
enterprise and various other factors.
Besides there is a number of tax incentives, which always relate to
qualifying assets or expenditure and not to an operation as such.
Since income and corporation tax are governed by federal laws, tax
incentives are uniform throughout Austria.
Government Investment Incentives
Federal, regional and EU funding instruments
The purpose of Austria’s national and local funding programs, which
are all based on EU and national regulations, is to ensure fair
competition between companies and regions within European Union.
• Investments in plants and equipment are typically encouraged
by investment grants in the context of regional subsidy
programs: investment expenses can be reduced by up to 50%,
e.g. for manufacturing equipment or information technology.
• R&D: Typical research and development projects can be
subsidized by up to 50% depending on the research focus, the
30 PKF - Doing business in Austria - Grants and Incentives