Eurofound's EU PolicyWatch collates information on the responses of government and social partners to the COVID-19 crisis, the war in Ukraine, rising inflation, as well as gathering examples of company practices aimed at mitigating the social and economic impacts.
Factsheet for measure AT-2020-27/952 – Updated – measures in Austria
|Country||Austria , applies nationwide|
|Time period||Temporary, 01 July 2020 – 31 December 2021|
|Type||Legislations or other statutory regulations|
Supporting businesses to stay afloat
– Direct subsidies (full or partial)
|Author||Bernadette Allinger (Forba) and Eurofound|
|Measure added||09 July 2020 (updated 11 January 2021)|
In order to support the catering, hotel, cultural and publishing sectors, which have been particularly affected by the COVID-19 crisis, a temporary reduced value added tax (VAT) rate of 5% is introduced. This applies to accommodation and camping sites, to the supply of all food and beverages in the gastronomy sector (from formerly 20%), as well as with regard to services in the cultural sector and supplies in the publication sector in general (from formerly 10 or 13%).
The VAT rate is reduced on the supply of food and beverages (alcoholic and non-alcoholic). This applies not only to catering establishments but also to the supply of food and beverages in confectioneries, bakeries and butchers' shops.
The VAT for overnight stays is also reduced in hotels, in other collective accommodation establishments and on campgrounds.
In the publication and culture sector, to supplies, imports and intra-community acquisitions of the following type, the 5% VAT is applied:
*books, brochures and similar printed matter * newspapers and other periodicals * electronic publications * picture albums, picture books and drawing and colouring books for children * sheet music, handwritten or printed * cartographic products of all kinds, including hiking maps * paintings and drawings, entirely handmade, collages * original engravings, cuts and lithographs * original products of the art of sculpture * tapestries, hand-woven, after original designs by artists * textiles for wall coverings according to original designs by artists * artistic photographs
The reduced tax rate also applies to the following services:
Automatically used by all organisations concerned by the lower value added tax rate.
|Does not apply to workers||
Sector specific set of companies
|Does not apply to citizens|
Social partners' role in designing the measure and form of involvement:
|Trade unions||Employers' organisations|
|Form||Not applicable||Not applicable|
Social partners' role in the implementation, monitoring and assessment phase:
|Economic area||Sector (NACE level 2)|
|I - Accommodation And Food Service Activities||I55 Accommodation|
|I56 Food and beverage service activities|
|J - Information And Communication||J58 Publishing activities|
|R - Arts, Entertainment And Recreation||R90 Creative, arts and entertainment activities|
|R91 Libraries, archives, museums and other cultural activities|
This case is not occupation-specific.
Eurofound (2020), Reduction of VAT (value added tax) to 5% for gastronomy, accommodation, culture and publications, measure AT-2020-27/952 (measures in Austria), EU PolicyWatch, Dublin, https://static.eurofound.europa.eu/covid19db/cases/AT-2020-27_952.html
30 January 2023
Governments across the EU continue to implement policies to support citizens and businesses in the face of rising food and energy prices caused by the COVID-19 crisis and intensified by the war in Ukraine. This article summarises the policy responses as reported in Eurofound's EU PolicyWatch database from January to September 2022.Article
12 September 2022
Although the worldwide pandemic situation had already disrupted supply chains and triggered increases in energy and food prices in 2021, the situation deteriorated in 2022 with the Russian invasion of Ukraine.Article
12 September 2022
This article summarises the first policy responses that governments across the EU have started to implement to support companies affected by the rising prices, and those with commercial ties to Ukraine, Russia or Belarus.Article
Disclaimer: This information has not been subject to the full Eurofound evaluation, editorial and publication process.