Tax Deductions and Credits — Austria

First €13,539 of annual income completely tax-free. Built into progressive tax brackets. Automatically applied, no action required.

Automatic work-related expense deduction for employees. Recognizes general work costs without documentation required.

Credit every employee receives automatically for commuting costs. Commuters with longer or harder journeys can additionally claim the distance-based Pendlerpauschale.

Courses, seminars, certifications related to current profession. Includes travel costs to training locations. Must maintain receipts.

Tools, computers, specialized clothing, books required for work. Home office equipment partially deductible. Must prove work necessity.

Mandatory chamber fees, trade union dues, professional organization memberships. Automatically reported by organizations.

For sole income earner in family with at least one child living in household. Reduces taxable income directly.

€601 for first child, additional €212 for second child and beyond. Recognizes additional burden of single parenting.

Tax credit (not deduction) per child under 18. Reduces final tax owed. €700 per year for children 18+. One of Austria's most valuable family benefits.

Deductible costs for children up to 10 years. Must use registered childcare providers. Reduces taxable income.

Private pension plan contributions. Encourages retirement savings. Must be certified pension products.

Life insurance, private health insurance supplements. Not all insurance qualifies - check with tax advisor.

Donations to registered charities and NGOs. Must request tax-deductible receipt. Automatic reporting by many organizations.

Church tax (Kirchensteuer, ~1% for members) fully deductible. Paid separately from income tax to religious communities.

Unusual medical costs exceeding self-retention threshold (varies by income, family size). Includes treatments, medications, therapies not covered by insurance.

Special equipment, modifications, care costs for disabled person or dependent. Lump-sum deductions available for various disability degrees.

Costs of supporting dependent family members unable to support themselves. Must prove financial necessity and relationship.

Additional deduction for pension recipients. Amount depends on pension level. Recognizes fixed income limitations.