Austrian Ministry of Finance: Adjustment of interest rates per 0.50%

Overview

On 10 March 2025, 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”), VAT interest (“Umsatzsteuerzinsen”) and refund interest for financial aids from former COFAG (“Rückerstattungszinsen für Förderungen der ehem. COFAG”). This decree replaces the decree dated 16 December 2024.

The rates for deferral interest, interest on arrears, interest for suspension, interest for appeal, VAT interest and refund 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, Sec 16 “COFAG” Reorganization and Settlement Act (COFAG-NoAG)). 

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 0.50 percentage points since the respectively last change of the prime rate remain out of consideration.

The decision of the Governing Council of the ECB of 6 March 2025 result in the following interest rates effective as of 12 March 2025: 

Applicable interest rates as of 12 March 2025

• Deferral interest rate pursuant to Sec 212 para 2 Austrian Federal Fiscal Code: 6.53% 

• Interest on arrears according to Sec 205 para 2 Austrian Federal Fiscal Code: 4.03%

• Interest for suspension according to Sec 212a para 9 Austrian Federal Fiscal Code: 4.03%

• Interest for appeal according to Sec 205a para 4 Austrian Federal Fiscal Code: 4.03%

• VAT interest according to Sec 205c para 5 Austrian Federal Fiscal Code: 4.03% 

• Refund Interest according to Sec 16 para 1 first sentence COFAG-NoAG: 4.03%

• Refund Interest according to Sec 16 para 1 second sentence COFAG-NoAG: 3.03%

Overview of changes in interest rates:

^{_{* From 1 July 2024, the deferral interest pursuant to Section 212 para 2 BAO will be
4.5% above the applicable prime rate per year.}}