2027 Inflation Adjustment Regulation Published

The inflation rate determined pursuant to Section 33a (3) of the Austrian Income Tax Act (EStG) amounts to 3.4%. Accordingly, the amounts applicable for the 2026 calendar year are to be increased by 2.2666% for the 2027 calendar year and rounded up to the nearest full euro.

The Inflation Adjustment Regulation results in the following personal income tax brackets for 2027:

The sole-earner/single-parent tax credit, transportation tax credit and pensioner tax credit will be adjusted as follows with effect from 1 January 2027:

• Sole-earner/single-parent tax credit (AVAB/AEAB), annually: EUR 626.00 for one child, EUR 847.00 for two children and an additional EUR 280.00 for each further child; additional income threshold for the sole-earner tax credit (partner’s income): EUR 7,579.00.
• Transportation tax credit, annually: EUR 508.00; increased transportation tax credit: EUR 873.00 (phase-out range: EUR 15,411.00 to EUR 16,420.00); supplement to the (increased) transportation tax credit: EUR 823.00 (phase-out range: EUR 20,209.00 to EUR 30,945.00).
• Pensioner tax credit, annually: EUR 1,044.00 (phase-out range: EUR 22,104.00 to EUR 32,208.00); increased pensioner tax credit: EUR 1,537.00 (phase-out range: EUR 25,174.00 to EUR 32,208.00).

Payroll Tax Table 2027

As the payroll tax rates are derived from the personal income tax rates, the income thresholds in the payroll tax table will, as in previous years, be adjusted accordingly for 2027.

The following monthly payroll tax table applies to employees for the 2027 calendar year. Due to space constraints and the newly introduced variants (75% and 25%), the Family Bonus Plus amounts are presented separately for the first time in an additional table.

Monthly Payroll Tax Table for Employees 2027

Monthly Family Bonus Plus Table