Austria secures EU approval to extend special VAT rules until 2027
The European Commission has approved Austria's request to continue using a special VAT measure. The decision, COM(2024) 448, extends Austria's authorization until December 31, 2027. Austria had sought to maintain the prohibition of VAT deductions on goods and services used predominantly for non-business or non-economic purposes. The application for this extension was submitted by the Austrian tax authority, typically the Federal Ministry of Finance. Austria must submit any further extension requests by March 31, 2027. The European Commission's decision allows Austria to continue applying this special VAT measure until the end of 2027. Austria's tax authority will need to submit any future extension requests before the end of March 2027.
