- SME Scheme Overview: Austria offers an SME scheme that allows small enterprises to benefit from simplified VAT obligations, exempting them from certain registration and reporting requirements, provided they do not exceed an annual threshold of €55,000.
- Exclusions from the Scheme: Certain transactions are excluded from the SME scheme, including occasional transactions related to the first occupation of buildings, the supply of building land, and exempt cross-border supplies of new means of transport.
- Domestic vs. Cross-Border SME Scheme: The domestic SME scheme exempts small enterprises from VAT registration and periodic returns, while the cross-border scheme allows SMEs to apply the SME scheme in multiple Member States with simplified reporting through a single notification and quarterly reports.
- Transitional and Quarantine Periods: If a small enterprise exceeds the national annual threshold by up to 10%, it can retain the SME exemption for the remainder of the calendar year. However, enterprises excluded from the SME scheme face a quarantine period, during which they cannot reapply for the exemption for the current and following year, or for five years if they voluntarily leave the scheme.
- Appeals Process: Appeals related to the SME scheme can be directed to the Member State of establishment (MSEST) for issues like turnover and exclusions, while appeals regarding national turnover or denials in the cross-border SME scheme should be addressed to the Member State of exemption (MSEXE).
Source ec.europa.eu
