Brunner: Tax revenues from digital tax increased by 7.4 % year-on-year to EUR 103 million in 2023; Digital tax contributes to a fair tax landscape
The provisional revenue from the digital tax amounts to around EUR 103 million for 2023. This corresponds to an increase of 7.4% or around EUR 7 million compared to the previous year (2022: around EUR 96 million).
"The continuous increase in revenue from the digital tax confirms the effectiveness of our strategy to ensure fairness in the digital age. We ensure that companies that generate significant revenue in Austria contribute their fair share. We remain determined to achieve fair taxation of the digital economy at an international level as well," said Finance Minister Magnus Brunner.
Taxation of online advertising services in Austria amounts to 5% of the tax base and is aimed at companies with a worldwide turnover of at least EUR 750 million and a domestic turnover of at least EUR 25 million from online advertising services. The tax base for calculating digital tax is the remuneration that an online advertising provider receives from a client.
While advertisements such as adverts, commercials and posters in traditional media in Austria are subject to the advertising tax of 5%, advertising on the Internet or in digital form such as banner advertising or search engine advertising was (and is) exempt from the advertising tax.
The digital tax has been levied since 2020 and aims to ensure fairer taxation of the digital economy by taxing revenue from companies that provide online advertising services. This reflects the growing economic weight of digital business models and contributes to a fairer tax landscape.
The digital tax is a transitional solution while comprehensive global taxation rules for the digital economy are being developed at OECD level and within the EU. Austria is heavily involved in the negotiations and is committed to their swift conclusion and rapid implementation of the new international regulations.