Austria Tax Codes

Important Things to Note

• The International Tax Reports SuiteApp only supports 139 unique tax codes per tax period for each country.

• You can use more than 139 tax codes for each country if these tax codes are not used in the same tax period.

• You must use the tax code properties provided by the SuiteApp. In addition to the properties that are common to all nexuses, the Austria VAT reporting feature uses the following properties:

  • Reduced Rate

  • Special Reduced Rate

  • Special Territory

  • Paid

  • Import

  • Import VAT

  Carefully review your current tax codes and edit them to match the settings in the Tax Code Table for Austria.

  For more information about tax codes, see Tax Code Properties and Creating Tax Codes.

• The following boxes must be checked on the ESSP tax code used for purchases of services from EU:

  • Reverse Charge Code

  • EC Code

  • Applies to Service Items

Tax Code Table for Austria

The following table shows the tax properties required to correctly generate the Austria tax reports provided by the International Tax Reports SuiteApp. The tax code names or letters presented in the table are suggested names or default system preferences. You can rename the tax codes. Tax reports identify transactions by looking at the tax code properties, not the tax code names.

On the New Tax Code or Edit Tax Code page, check the boxes of the properties that apply to the tax code. For more information about tax code properties, see Tax Code Properties.

To understand how NetSuite uses the tax codes to get the values for the Austrian VAT report, see What goes into each box – Austria VAT report.

For information about notional rates in EU B2B transactions and VAT reports, see EU Notional VAT.

Supported Tax Codes

The following tax codes are not provisioned by the International Tax Reports SuiteApp but supported in NetSuite. You can create the following tax codes for Austria and use it for tax reporting. For more information about creating new tax codes, see Creating Tax Codes -Other Nexuses.

Tracking VAT Paid on Imports into Austria

Quite often, the customs office levies VAT on imports at the border crossing (inland or airports), and this levy is paid either by the transporter (paid before the goods are released) or by you directly (on an account basis). These costs are essentially 100% VAT bills. To ensure that these taxes are picked up by NetSuite in the Austrian VAT report, you must have the following tax codes:

When entering the transaction, you must record this cost as input tax, where the total amount represents the VAT amount. The full tax amount shown on the vendor bill must be entered in the Net Amount field (bills or journals).

Examples:

• In most cases, at the point of import (at the border, or airport, or customs house), the customs office will value the goods and impose VAT, which your company must pay before the goods are released. Record this input tax using the Import VAT-P (VAT paid) tax code. The net amount for this tax will be picked up in box 61 of the Austrian VAT report.

• In some cases, the freight or transport company will pay the VAT to the customs office on your behalf, and then pass on the charge to you. Record this input tax using the Import VAT-P (VAT paid) tax code. The net amount for this tax will be picked up in box 83 of the Austrian VAT report.

• In other cases, the customs office bills your company and you pay the VAT bill like any other vendor bill. Record this input tax using the Import VAT-U (VAT unpaid) tax code.

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