Austria has implemented Country-by-Country Reporting (CbCR) regulations in line with the OECD’s BEPS Action 13 framework and EU Directive 2016/881. The Austrian Ministry of Finance (BMF) oversees CbCR compliance, ensuring that multinational enterprises (MNEs) with operations in Austria adhere to international tax transparency standards.

This guide provides CFOs and tax professionals with an in-depth understanding of Austria’s CbCR framework, covering applicability, reporting obligations, submission process, penalties, and key resources.

Applicability of CbCR in Austria

Criteria for Reporting

CbCR requirements apply to MNE groups that:

• Have consolidated global revenues exceeding EUR 750 million in the preceding financial year.
• Include at least one Austrian entity or permanent establishment (PE).

Local Filing Requirements

An Austrian entity within an MNE group must submit a CbC report if:

• It is the Ultimate Parent Entity (UPE) of the group.
• It has been designated as the Surrogate Parent Entity (SPE) for CbCR purposes.
• The UPE is located in a jurisdiction that does not require CbCR or does not have a qualifying exchange agreement with Austria.

Relevant Legislation

• Austrian Transfer Pricing Documentation Act (VPDG) – Implements CbCR requirements.
• EU Directive 2016/881 – Sets EU-wide CbCR obligations.
• OECD BEPS Action 13 – Forms the basis for Austria’s CbCR framework.

Reporting Requirements

Content of the CbC Report

The CbC report must include financial and tax-related data for all jurisdictions in which the MNE operates, including:

• Total revenues (related and unrelated party transactions).
• Profit or loss before income tax.
• Income tax paid and accrued.
• Stated capital and retained earnings.
• Number of employees.
• Tangible assets other than cash or cash equivalents.

Notification Requirement

• All Austrian entities within an MNE group must notify the Austrian Ministry of Finance (BMF) regarding which entity will file the CbC report and in which jurisdiction.
• The notification must be made electronically via FinanzOnline before the end of the financial year.

Submission Platform

• Reports must be electronically filed via FinanzOnline, Austria’s official tax platform, using the OECD CbCR XML schema.

Resource

Filing instructions and guidelines are available on the Austrian Ministry of Finance (BMF) website:
BMF – Country-by-Country Reporting

Filing Deadlines

• CbC Reports: Must be submitted within 12 months after the end of the MNE’s financial year.
  • Example: For a financial year ending 31 December 2023, the report must be filed by 31 December 2024.
• Notifications must be provided before the end of the financial year.

Penalties for Non-Compliance

Penalties and Consequences

Failure to comply with Austria’s CbCR requirements may result in:

• Fines of up to EUR 50,000 for missing or inaccurate reports.
• Additional penalties for persistent non-compliance.
• Increased scrutiny from the Austrian tax authorities.

Mitigation Measures

• Companies can apply for extensions or appeal penalties if they can demonstrate reasonable cause for non-compliance.

Confidentiality and Data Exchange

Data Protection

Reports are automatically exchanged with jurisdictions that have a bilateral exchange agreement with Austria.

The Austrian Ministry of Finance (BMF) ensures that CbC reports remain confidential and are only used for tax risk assessment purposes.