If you are looking for an opportunity to expand your business profitably and take a convenient position in the European market, then registering a company in Austria remotely or opening a corporate account in the Austrian bank will be the best solution in 2021. Austria is a progressive federal state, located in Central Europe. The country has a comprehensively developed economy, the strongest industries of which are: a textile, a woodworking, an electrical, a chemical, a petrochemical.
The capital of the Australia Republic is Vienna. The official language is German. A monetary unit is the euro. Austria is among the participants in such global organizations as the European Union and the United Nations.
Jurisdiction benefitsAccording to the assessment of the world-famous financial magazine Doing Business, in 2019 Austria took the well-deserved 1st place in international trade. Also, in the registration of enterprises, the country was in 32nd place, in terms of ease of doing business - in 26th place, and in ensuring the fulfillment of the terms of contracts - in 10th place.
Speaking about main benefits of jurisdiction for foreign entrepreneurs, who may be interested in registering a company in Austria, it is worth highlighting the following points:
- a progressive economy;
- a stable political environment;
- highly skilled workforce;
- a wide production base;
- a well-developed banking sector;
- a high state interest in foreign investment;
- a large selection of financing programs with a favorable incentive system (tax incentives, cash grants, low credit rates);
- a flexible tax system.
Those, who have been attracted by the idea of registering an Austrian company for a long time, should pay attention to such business niches in 2021: a tourism, a construction industry, an energy sector, a banking and insurance, a science and innovation.
Popular types of companies in AustriaAs of 2021, the list of the most common legal forms characteristic of the Republic of Austria is as follows:
- a Joint Stock Company (AG);
- a Closed Limited Liability Company (GmbH);
- a Partnership (OHG/OEG);
- a Limited Partnership (KG/KEG).
Basic requirements for registering a business in AustriaTo register a commercial firm in Austria as successfully as possible, study carefully the following conditions:
- The unique name with the addition of the ending: OG, AG, KG, GmbH, etc.;
- The number of directors/shareholders is 1 (individuals/legal entities, without restrictions regarding residency);
- Mandatory annual meetings;
- The authorized capital of the company is at least 10 thousand EUR;
- A ready-made package of registration documents;
- Mandatory maintenance of annual financial statements;
- Opening the account in an Austrian bank;
- Obtaining an Australian appropriate business license (required for 82 activities).
Taxes in AustriaIf you want to open a company in Austria, please note, that resident limited companies (GmbH) and joint-stock companies (AG) pay a fixed corporate tax rate of 25% on profits made both in Austria and beyond.
In turn, non-resident companies are subject to a limited tax on certain sources of income received within the country.
The following types of taxes are also applicable in the country:
- a value added tax is 20%;
- a dividend tax is 25%;