On 30 August 2023, the Austrian government announced a plan to tighten the windfall tax on oil and gas companies, in an effort to reduce their profits at a time of rising energy prices. The new tax will apply to profits that exceed a pre-crisis average by more than 10%, instead of the current threshold of 20%. This means that companies will be taxed on more of their profits and the government will be able to raise more revenue to help offset the impact of rising energy prices on consumers.
The announcement comes as the Austrian government faces growing public pressure to do more to help people struggling with the rising cost of living. The new tax is likely to be met with resistance from the oil and gas industry, but the government is determined to take action to reduce the burden on consumers. The new tax is expected to come into effect in early 2024.
