The Austrian Government has submitted a provisional budget for 2014 to the Austrian National Council; the proposals broadly follow the coalition accord. Tax rises are proposed in the motor vehicle insurance tax and on alcohol and tobacco, and for the reintroduction of a sparkling wine tax. The measures also remove the tax break for so-called “golden handshakes,” amends the bank levy, and raises the special contribution to the stability levy to 45%. Proposals are also made for reform and tightening of the group tax regime, and to introduce a new model for the consumption tax. Finally, proposals are made to modify the profit allowance for self-employed workers in Austria.
