Holiday work placements and taxation

If the holiday work placement trainee is employed, the following applies: If the employment relationship is less than one year and if the payment is above the marginal employment threshold, an employee tax assessment (also known colloquially as tax equalisation or annual equalisation) must be performed.

Caution

These rules apply to all EU citizens in Austria.

Advice

Since July 2017 the tax equalisation is performed automatically in many cases (also known as an 'application-free employee tax assessment'). The advantage for holiday work placement trainees lies in the fact that they do not need to provide a tax declaration. Excess paid tax will be calculated by the Treasury and transferred. More detailed information about ‘parental leave and partial parental leave’ can also be found at oesterreich.gv.at.

If the holiday work placement trainee is working based on a free service contract or based on work contracts, the following applies: From an annual income of 11,000 Euro and up (for incomes based on work contracts and free service contracts only) or 12,000 Euro if the amount also includes income taxable income, an income tax declaration (→ USP) must be provided.

Persons employed in Austria or in receipt of income in Austria, but who have no domicile or usual residence in Austria – regardless of their nationality – are subject to restricted tax liability. Detailed information on the topic of "income tax for EU citizens working in Austria" can be found at USP.gv.at.

Further links

Explanatory video: Application-free employee tax assessment (→ BMF)German text

Translated by the European Commission
Last update: 8 January 2021

Responsible for the content: oesterreich.gv.at Editorial Staff