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

The Austrian Federal Ministry of Finance Feb. 5 posted online Federal Finance Court Decision No. RV/1100163/2023, clarifying the taxation of pension income under the 1974 DTA with Switzerland, last amended in 2012. The taxpayer, an Austrian resident, received a Swiss old-age and survivors’ insurance (AHV) pension, of which 28.83 percent related to her spouse’s former Swiss public service employment. The Austrian Tax Office fully taxed the pension based on a 2022 consultation agreement, and the taxpayer appealed. On appeal, the Federal Finance Court reversed the Tax Office’s decision, finding that: 1) the taxpayer was subject to unlimited tax liability in ...