Austrian Ministry of Finance: Further adjustment of interest rates per 0.50%

Overview

On 14 September 2023, the Austrian Ministry of Finance published a decree on the adjustment of rates for deferral interest, interest on arrears (“Anspruchszinsen”), interest for suspension (“Aussetzungszinsen”), interest for appeal (“Beschwerdezinsen”), and VAT interest. This decree replaces the decree of 16 June 2023.

The rates for deferral interest, interest on arrears (“Anspruchszinsen”), interest for suspension (“Aussetzungszinsen”), interest for appeal (“Beschwerdezinsen”), and VAT interest depend on the applicable prime interest rate (Sec 212 para 2, 212a para 9, 205 para 2, 205a para 4, 205c para 5 Austrian Federal Fiscal Code).

Pursuant to Section 1 of the Base and Reference Rate Ordinance, the prime rate changes in accordance with the interest rate applied by the European Central Bank to its main refinancing operations. Changes of less than 0,5 percentage points since the respectively last change of the prime rate remain out of consideration.

The decisions of the Governing Council of the ECB of 27 July 2023 and of 14 September 2023, each of which provide for a 0.25% increase in the prime interest, result in the following interest rates effective as of 20 September 2023: 

Applicable interest rates as of 22 March 2023

• Deferral interest rate pursuant to Sec 212 para 2 Austrian Federal Fiscal Code: 5.88% (until 30 June 2024 pursuant to Sec 323c para 13 Austrian Federal Fiscal Code)
• Interest on arrears (“Anspruchszinsen”) according to Sec 205 para 2 Austrian Federal Fiscal Code: 5.88%.
• Interest for suspension (“Aussetzungszinsen”) according to Sec 212a para 9 Austrian Federal Fiscal Code: 5.88%.
• Interest for appeal (“Beschwerdezinsen”) according to Sec 205a para 4 Austrian Federal Fiscal Code: 5.88%.
• VAT interest according to Sec 205c para 5 Austrian Federal Fiscal Code: 5.88% (application according to Sec 323 para 75 Austrian Federal Fiscal Code)