Types of Legal Forms Available for Company Formation in Austria
OG is the partnership that does not limit the liability of either party. There are no legal requirements regarding the authorized capital that greatly extends possibilities of even unpretentious businessmen.
KEG is a limited liability partnership. It requires 2 shareholders and they may be legal entities or nationals of any country. Do you want to operate in Austria? If yes, you need a manager who may not be a citizen of Austria, but still, he should have a passport of an EU citizen.
AG is the Austrian analogue of the JSC that is common to most entrepreneurs. The authorized stock capital should be over 70 000 Euro. The number of shareholders should be 2. It requires one director who should have the formal work permit to be based in Austria.
Einzelunternehmer is your perspective personal venture in Austria.
GmbH is the classic closed JSC that allows the limited liability. The amount of the authorized stock capital should reach over 35,000 Euro. Also, this form requires a director who should have the written evidence to operate in Austria.
Chance to create an affiliate of the company in Austria, opening an office in any city of the country.
Specificity of Company Formation in Austria
Any activity is allowed not prohibited by laws of Austria. The license is required at all times when a company is engaged in investment and insurance, as well as banking services.
You may face difficulties only in process of registration of agencies that choose to hold lotteries. Also, it is quite challenging to open a company in the energy sector or in the mass media.
The reference tax is 25%. The tax regime should be selected by specialists to effectively save funds. Dividends received by EU residents are not subject to tax. Payment for non-residents can be 0 to 15% as the case may be.
Income tax makes 34%, VAT – 20%. In addition, AG should pay the tax in the amount of 900 Euro, and GmbH – only 450 Euro each quarter. Others do not act as permanent taxpayers (this relates to OEG and KEG).
The main advantage of Austria is the prestige and motivation to strengthen the good will on the international market. Your company’s prospective partners will definitely distinguish that your company was established in Austria. It is easy to create multi-level holding structures and to do business without any accounting and stable control by the tax authority.