Introduction to setting up an Austrian subsidiary
Establishing a subsidiary in Austria is much the same as forming a company in terms of requirements. The New Companies Promotion Act (NeuFöG) supports new businesses setting up in Austria by helping to moderate the cost of formation. Forming a subsidiary in Austria is favourable for foreign investors as its geographical position is well positioned as a step towards successful trading in Eastern Europe and the Balkans.
What are the main formalities of an Austrian subsidiary?
- The minimum share capital required is €35,000
- The Memorandum & Articles of Association of the subsidiary
- The resolution of the parent company detailing its decision to form the subsidiary
The documents shown above must be filed with the Austrian Commercial Register in order for the subsidiary to be registered.
All required documents must be officially notarised, apostilled, and translated into German by a sworn translator.
What are the accounting requirements of an Austrian subsidiary?
The subsidiary must register its business activities with the Austrian Ministry of Finance – Bundesministerium fur Finanzen, and obtain a tax ID number within a month of being established.
As the subsidiary is a separate entity from the parent company its financial accounts must comply with the Austrian Commercial Code (UGB). Audited annual accounts and either monthly or quarterly VAT returns must be submitted.
If the parent company resides outside the EU a fiscal representative may need to be assigned.
Please visit our partners Accountancy In Europe for further information on accountancy services and tax rates in Austria.
Subsidiary Formation Packages
Our team are experienced with the process of subsidiary formation and provide a subsidiary formation package to help you negotiate the requirements and complexities involved. We organise services such as the set up and tax registration of the subsidiary, guiding you through the completion of the process with expert ease.
For further information on Austrian subsidiaries, please contact us using the form below.