Austria MOF Clarifies Taxation of Pension Income Under DTA, Protocols With Switzerland

The Austrian Federal Ministry of Finance Jan. 27 posted online Federal Finance Court Decision No. RV/1100090/2019, clarifying the taxation of pension income under the 1974 DTA with Switzerland, last amended in 2012. The taxpayer, an Austrian resident, received pension payments from the Providus pension fund and a Swiss old-age and survivors’ insurance (AHV) pension. The Austrian Tax Office treated the Swiss pension as taxable in Austria and denied credit for Swiss withholding tax. On appeal, the Federal Finance Court found that: 1) the taxpayer was subject to unlimited tax liability in Austria due to residence; 2) the Providus pension payments ...