Austria MOF Clarifies Taxation of Payouts From Swiss Pension Insurance Plan

The Austrian Federal Ministry of Finance March 10 posted online Federal Finance Court Decision No. RV/1100214/2024, clarifying the taxation of payouts from a Swiss pension insurance plan. The taxpayer, an individual resident, worked in Switzerland as a cross-border commuter until April 30, 2023. Upon leaving the Swiss labor market, the taxpayer transferred part of his accumulated Swiss pension capital and received a cash payout from the over-obligatory portion of his pension fund. The Tax Office initially taxed the payout partly at normal progressive rates and treated only one-third as tax-free. On appeal, the Federal Finance Court found that: 1) the ...