Tax newsletter: Austria — April 2014
The most recent draft of the Austrian Budget Accompanying Act of 2014 (Budgetbegleitgesetz, BudBG 2014) provides for, inter alia, a calculation basis for the real-estate transfer tax (RETT) in compliance with the Austrian federal constitution as from 1 June 2014. The main issues of the intended new regulation are presented in the following.
Austrian RETT is basically based on the consideration paid to acquire real property. In case of gratuitous transfers, the tax basis currently amounts to the value of the real property. The value of a real property is therefore essential especially in connection with donations, inheritances or in the case of sale of shares in real property companies. The value of a real property in the meaning of the provisions of the Austrian Real Estate Transfer Tax Act (Grunderwerbsteuergesetz, GrEStG) is yet not the market value, but the — onefold or threefold — so-called standard tax value (Einheitswert), which is usually much lower than the fair market value (usually between 0.1 per cent and 10 per cent of the fair market value).
The Austrian Constitutional Supreme Court (Verfassungsgerichtshof, VfGH) set aside the hitherto applicable regulation regarding the valuation of real property with effect from 1 June 2014 due to unconstitutionality. If the old regulation is not replaced by a new one before this date, the fair market value will be considered for the calculation of the value of a real property thereafter…
Click on the link below to read the rest of the DLA Piper briefing.
News from DLA Piper
News from The Lawyer
Briefings from DLA Piper
DLA Piper’s privacy experts have compiled a list of dos and don’ts for addressing privacy compliance in M&A transactions.
On 22 July 2014, a new law amending the Law on Data Protection and Law on Information was signed off by the Russian president and thus was officially adopted.
Analysis from The Lawyer
Shearman & Sterling is making its presence felt in the City, squaring up to magic circle firms and looking to muscle in on key relationships. Private equity house Bridgepoint is one outfit that has had its head turned by the US firm.
A new breed of lawyer is smoothing the path for companies entering emerging or unstable jurisdictions