The "medium-sized business package" decided on Wednesday by the ÖVP-SPÖ-NEOS government includes an increase in the basic flat rate to 15 percent and the abolition of the receipt requirement up to 35 euros. The government is committed to a "bureaucracy brake," explained NEOS State Secretary for Deregulation, Josef Schellhorn.

Medium-Sized Business Package: Less Bureaucracy for Small and Medium-Sized Enterprises

In 2025, the basic flat rate will be increased from 220,000 euros and 12 percent to 320,000 euros (13.5 percent), and in 2026 to 420,000 euros (15 percent). This means less bureaucracy, less administrative effort, and a noticeable relief for small and medium-sized enterprises, it was said at the press foyer after the Council of Ministers. In addition, all N1 vehicles (light commercial vehicles) will be exempt from the standard consumption tax (NoVA) from 01.07.2025. This will make company cars and transporters cheaper. "We want to do the right thing for Austria," said Chancellor Christian Stocker (ÖVP), who sees jobs secured and the business location strengthened by the package of measures. As already announced by Minister of Economic Affairs Wolfgang Hattmannsdorfer (ÖVP), the receipt requirement for purchases up to 35 euros will be abolished. This should happen "as soon as possible". However, this is "not the abolition of the receipt obligation", the cash register systems will "continue to work", said Schellhorn. In addition, approvals for business start-ups and in the area of energy and business facility law should be accelerated.

Business Location to be Strengthened by Medium-Sized Business Package

In Schellhorn's state secretariat, there will also be a contact point "for all Austrians" in matters of bureaucracy. During the year - "I won't commit to a date" - the annual bureaucracy report will be presented. A particular focus in the attempt to eliminate duplications is "on the uniform enforcement of federal laws to promote legal certainty and clarity. In addition, national and European reporting obligations will be systematically analyzed to identify potential relief opportunities," it was further stated. With this package, the government "clearly commits to strengthening the business location and supporting SMEs," emphasized Schellhorn. Even as an entrepreneur, his motto was "less red tape, more freedom," which he will now continue to pursue as State Secretary for Deregulation. The fact that he is located in the Ministry of Foreign Affairs as such is justified by Schellhorn by saying that he can also take over the areas of foreign trade and foreign culture. In addition, he is the representative of Foreign Minister Beate Meinl-Reisinger (NEOS). "It is quite clear that I am not a mistrust secretary, but a state secretary". In his state secretariat, "recommendations" will be developed for other ministries in the future, "there is no talk of procurement".

Positive Reactions from the Economy to Medium-Sized Business Package

The package received positive reactions from representatives of the economy. Several branch chairmen of the Chamber of Commerce saw "numerous industry demands fulfilled". Economic Association Secretary General and ÖVP economic spokesperson Kurt Egger praised the package: "The medium-sized business package does exactly that: it provides relief, makes our companies more competitive, and finally gives entrepreneurs more time for what they do best: doing business!". The Trade Association welcomed the package and spoke of an important first step. "Now it is important that further measures are decided that will then reach all companies," said Managing Director Rainer Will. ÖVP Tourism State Secretary Elisabeth Zehetner also spoke of a "great relief for inns and tourism businesses". SPÖ Finance Minister Markus Marterbauer called it a "powerful medium-sized business package".

The Freedom Party naturally saw it differently. FPÖ economic spokesperson Barbara Kolm called the package in a statement "merely an unconvincing 'small-small'". It is also too slow for her: "Simplifying business transfers, faster approval procedures, or deregulation in business facility law are correct, but that should be the accessory of an even bigger move. And that should not come in two years, but today". She demands to start a "reduction path" in corporate tax and income tax.

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This article has been automatically translated, read the original article here.