Austria's Revenue Generation: A Comprehensive Overview

Austria's economy is heavily dependent on tourism, which accounts for almost a tenth of the country's gross domestic product and more than 700,000 jobs. In 2024, Austria had a very high nominal GDP per capita of $58,669, ranking 13th. Vienna was ranked the fifth richest NUTS-2 region within Europe, with a GDP per capita of €38,632. Austria also ranks fifth in the European Union in terms of GDP per capita, with €46,200, well above the EU average.

Tourism revenues

Austria ranks second in the European Union in terms of tourism revenues in proportion to the population. The sector accounts for almost a tenth of the country's gross domestic product, with more than 700,000 employees.

Tourism is of vital importance to Austria's economy, as it generates jobs, revenues and development for the country's regions. The country's warm and impeccable hospitality is a strong characteristic of its tourism offering. While big international players and brands have invested substantially in the sector, it remains heavily dominated by small, family-run concerns that help safeguard the nation's culture and traditions.

Austria's membership in the EU has drawn an influx of foreign investors, attracted by the country's access to the European Single Market and its proximity to the aspiring economies of the European Union. Growth in GDP has accelerated in recent years, reaching 3.3% in 2006. In 2024, Austria had a very high nominal GDP per capita of $58,669, ranked 13th. Vienna was ranked the fifth richest NUTS-2 region within Europe, with its GDP reaching €38,632 per capita. Austria ranks fifth in the European Union in terms of GDP per capita with €46,200, well above the EU average of €37,600. It accounts for 2.8% of the EU's total GDP.

GDP

Austria has achieved sustained economic growth since the end of World War II. In the 1950s, the country's rebuilding efforts lead to an average annual growth rate of more than 5% in real terms, and this continued at about 4.5% through most of the 1960s.

Following moderate real GDP growth of 1.7%, 2% and 1.2%, respectively, in 1995, 1996, and 1997, the economy rebounded and with real GDP expansion of 2.9% in 1998 and 2.2% in 1999. Austria became a member of the EU on 1 January 1995, and this brought economic benefits and challenges, including an influx of foreign investors attracted by Austria's access to the single European market.

Growth in GDP has accelerated in recent years, reaching 3.3% in 2006. In 2024, Austria had a very high nominal GDP per capita of $58,669, ranking 13th. Vienna was ranked the fifth richest NUTS-2 region within Europe, with its GDP reaching €38,632 per capita.

Tourism is also a significant contributor to Austria's GDP, accounting for almost a tenth of the country's gross domestic product, more than 700,000 employees, and is of vital importance as a generator of jobs, revenues and development for Austria's regions.

Tax revenue

In Austria, taxes are levied by the state and the tax revenue in Austria was 42.7% of GDP in 2016 according to the World Bank. The most important revenue sources for the government are income tax, corporate tax, social security contributions, value-added tax, and tax on goods and services.

Austria also raises tax revenue through a mix of individual income taxes, corporate income taxes, social insurance taxes, taxes on goods and services, and property taxes. The highest marginal tax rate is 55% for people whose yearly income exceeds 1,000,000 euros. The maximum contribution basis for regular payments amounts to 4,980 euros per month.

Other important taxes in Austria include municipal tax, real-estate tax, vehicle insurance tax, property tax, and tobacco tax. There is no gift tax, inheritance tax, or property tax. Self-employed persons can use a tax allowance of 3,900 euros per year. The tax period is set for a calendar year, and the tax is paid monthly.

Foreign investment

Austria has achieved sustained economic growth since the end of World War II. In the 1950s, the country's rebuilding efforts lead to an average annual growth rate of more than 5% in real terms, and this continued at about 4.5% through most of the 1960s. Austria's membership of the EU has drawn an influx of foreign investors, attracted by the country's access to the European Single Market and its proximity to the aspiring economies of the European Union.

Austria's economy is heavily dependent on tourism, which accounts for almost a tenth of the country's gross domestic product and more than 700,000 jobs. Vienna was ranked the fifth richest NUTS-2 region within Europe, with a GDP of €38,632 per capita.

Austria's main trading partner has historically been Germany, which has made the Austrian economy vulnerable to rapid changes in the German economy. However, since Austria joined the EU, its economic dependence on Germany has reduced.

Trading partners

Austria's economy has been historically dependent on Germany, its main trading partner. However, since Austria joined the European Union, it has gained closer ties to other European Union economies, reducing its economic dependence on Germany. Austria's membership in the EU has also drawn an influx of foreign investors, attracted by the country's access to the European Single Market and its proximity to aspiring economies within the EU.

Austria's economy has achieved sustained growth since the end of World War II. In the 1950s, rebuilding efforts led to an average annual growth rate of more than 5% in real terms, which continued at about 4.5% through most of the 1960s. In recent years, GDP growth has accelerated, reaching 3.3% in 2006 and a very high nominal GDP per capita of $58,669 in 2024, ranking 13th. Vienna, in particular, stands out as the fifth richest NUTS-2 region within Europe, with a GDP per capita of €38,632.

Tourism is a significant contributor to Austria's economy, accounting for almost a tenth of the country's gross domestic product and providing more than 700,000 jobs. The sector is dominated by small, family-run businesses that help safeguard the nation's culture and traditions.

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