Austria MOF Clarifies Tax Liability of Managing Director for Unpaid Company Tax Debts

The Austrian Federal Ministry of Finance Feb. 16 posted online Federal Finance Court Decision No. RV/4100351/2021, clarifying the tax liability of a managing director for unpaid company tax debts. The taxpayer, a former managing director, was held liable for a company’s outstanding tax debts after insolvency and liquidation. The taxpayer argued that some tax periods were time-barred and provided evidence for limited liquidity and the near-equal treatment of creditors. On appeal, the Federal Finance Court found that the taxpayer: 1) was fully liable for all payroll taxes because the equal treatment principle didn’t apply to withheld wage taxes; 2) successfully ...