Global Business Service Agency: legal services for business

Austria is synonymous with reliability and stability for entrepreneurs all over the world. In 2017 the republic took a confident 5th place in the rating of economic freedom, it is included in the top-20 international rating of competitiveness and rating of ease of doing business. Over the past few years, the country has shown a staggering pace of economic development that surpasses even the expectations of the EU Commission – about 3% annually. However, for international business, first, it is interesting to register a company in Austria as a privileged tax zone with all the opportunities.

What features of jurisdiction should be taken into account to open a business in Austria

1. In the jurisdiction, you can open 2 forms of organization: Limited liability company and joint stock company, which differ in the type of distribution of capital and assets, the size and payment of the authorized capital and the form of responsibility of the founders.
2. In the republic, there is an extensive network of banking structures that offer advantageous conditions for the preservation of assets with complete confidentiality of the account holder data.
3. The country offers a favorable system of taxation on a territorial basis: all non-resident companies that operate outside the borders of the state do not pay corporate taxes. In the case of income received from the source in the jurisdiction, the rates are distributed in this way:
   • Income tax for legal – 25%;
   • Corporate tax – €500;
   • VAT – 10-20% (the preferential rate is valid for agricultural goods, rental of real estate, tourism, food products);
   • Tax at source: dividends and interest – 0-25% (depending on the country of registration of the parent company).
4. The state has signed more than 90 agreements for the avoidance of double taxation.
5. Non-resident companies of Austria can conduct any activity except banking, insurance, and reinsurance, political, public.
6. Companies are obliged to conduct financial statements and pass tax returns, as well as to undergo tax audit, if the assets of companies are estimated at least €4.840 million, and the annual turnover of the company for the last 2 years was not less than €9.680 mln (or at least 50 employees in the company staff).

How to open a company in Austria

Founders and executives

To open a new company requires the presence of a minimum of one shareholder, without restrictions in residence and form of management. There is also a need for at least one director, who, regardless of residency, must be natural.

Mandatory requirements for shareholder meetings are formal, as decisions are taken in a notarized documentary form. The register of nominee founders and the board of Directors is open.

Authorized capital

The minimum amount of authorized capital is €10 000, and varies depending on the form of organization of the new company. The statutory fund requires payment at least 50% at the time of registration. It is available to issue shares of nominal, bearer, with the transfer of shares only in a certified notarial form. The nominal value of shares may be different and must be at least €1 (€70 for owners of shares of a limited liability company).

Minimum package of documents:

• Constituent documents;
• Protocol of the first meeting;
• Conclusion of the board of directors;
• Viable of shareholders;
• Certificate of shares;
• Apostille;
• Nominal power of attorney.

The cost of company registration in Austria is from €4 200. About peculiarities of registration of package of documentation and services of nominal service to learn from our experts!

Experts of GBS Agency will answer all the questions concerning the registration of the offshore in Austria daily 24/7! Find out everything for your business right now!