DAC8 Transposition in Austria: What to Expect

Austria has been at the forefront of crypto-asset taxation within the EU, having implemented one of the most comprehensive and clearly defined domestic crypto tax frameworks. DAC8 transposition will complement this existing framework by providing Austrian tax authorities with systematic reporting data from CASPs.

Austria's Progressive Crypto Tax Framework

Austria fundamentally reformed its tax treatment of crypto-assets effective March 1, 2022, through the Öko-Soziale Steuerreform. The reform introduced a flat tax rate of 27.5% (Kapitalertragsteuer — KESt) on realized gains from crypto-asset disposals, aligning the treatment with that of other capital assets such as stocks and bonds.

Key features of Austria's crypto tax regime include taxation of realized gains at 27.5% for individuals, tax-free treatment of crypto-to-crypto exchanges (only fiat off-ramps trigger a taxable event), no holding period exemption (eliminating the previous one-year tax-free holding rule), the obligation for Austrian crypto platforms to withhold and remit KESt directly to the tax authorities, and reporting obligations for domestic CASPs to the Finanzamt (tax office).

The withholding and reporting obligations for Austrian CASPs mean that some elements of DAC8 compliance are already embedded in Austrian law and practice.

Regulatory Supervision

The Austrian Financial Market Authority (Finanzmarktaufsicht — FMA) supervises financial services providers, including CASPs operating under the Austrian regulatory framework. CASPs must register with the FMA and comply with AML/CFT requirements under the Austrian Financial Markets Anti-Money Laundering Act (FM-GwG).

As Austria transitions to MiCA, the FMA will take on expanded supervisory responsibilities for CASPs, including oversight of DAC8 compliance as part of the broader regulatory framework.

Transposition Details

The Federal Ministry of Finance (Bundesministerium für Finanzen — BMF) leads the transposition of DAC8 into Austrian law. Austria typically implements EU tax directives through amendments to the EU Administrative Cooperation Act (EU-Amtshilfegesetz — EU-AHG), which serves as the domestic framework for international tax information exchange.

The BMF has published guidance on previous DAC amendments and is expected to provide detailed implementation instructions for DAC8, including technical specifications for the XML reporting format and filing procedures.

Austrian TIN System

Austria assigns a Steuernummer (tax number) to taxpayers, and the Finanzamt-specific numbering system is used for domestic purposes. For international exchange purposes, including CRS and DAC8, the relevant identifier for individuals is the Abgabenkontonummer or the Sozialversicherungsnummer (social insurance number).

For entities, the Firmenbuchnummer (commercial register number) or the UID-Nummer (VAT number) may serve as the tax identifier.

CASPs operating in Austria will need to ensure they collect the correct identifier for both domestic and international reporting purposes.

Expected Penalties

Austria's penalty framework for tax violations includes fines for negligent or intentional non-compliance with reporting obligations, potential prosecution under the Finanzstrafgesetz (Financial Criminal Law Act) for serious violations, and administrative penalties proportional to the severity and duration of the non-compliance.

Given Austria's demonstrated commitment to crypto-tax compliance through its withholding regime, DAC8 enforcement is expected to be thorough and consistent with the country's overall approach to tax transparency.

Impact on Austrian CASPs

Austrian CASPs that already withhold KESt and report to the Finanzamt are well positioned for DAC8 compliance. However, they will need to adapt their reporting systems to the DAC8/CARF XML format, extend TIN and self-certification collection to non-Austrian users, implement the specific due diligence procedures prescribed by DAC8, and participate in the EU's automatic exchange mechanism.

For non-Austrian CASPs serving Austrian users, DAC8 will provide the Austrian Finanzamt with transaction data that can be cross-referenced against KESt withholding records and individual tax returns, enhancing enforcement capabilities.

Conclusion

Austria's early adoption of a comprehensive crypto tax and withholding regime places its CASPs in a favorable position for DAC8 compliance. The main challenges will be adapting existing systems to the DAC8 XML format and extending data collection to cover non-Austrian users. CASPs should leverage their existing compliance infrastructure while planning for the additional requirements that DAC8 introduces.