Understanding tax · Jurisdiction AT

KESt capital-yields tax (Austria)

This is Austrian income-tax law, not German Abgeltungsteuer and not a UK ISA. Austria levies Kapitalertragsteuer (KESt) on interest, dividends and many securities gains. Finmon does not file a return.

In more detail

Educational snapshot, as at 2026: verify rates: 27.5% special rate for most capital income, 25% on interest from savings books and current accounts. An Austrian paying agent often withholds KESt at source. For many domestic yields that is a final tax. They then do not go into the income-tax return again. Exceptions and the option to be taxed at the regular progressive income-tax rates are BMF territory, not Finmon.

Background

KESt is not a DIY filing pack in this app. A foreign custody account, business income, grandfathered holdings or loss offset can change finality. A German partial exemption or saver’s allowance cannot be translated into Austria. Finmon does not compute KESt and does not recommend an investment “because the tax looks low”.

An example

An Austrian bank shows 27.5% KESt on a dividend. Educational point: that is withholding under Austrian income-tax law. Finmon does not declare it and does not convert it into German Abgeltungsteuer.

A common misconception

German Abgeltungsteuer and Austrian KESt are the same word in two languages.

KESt is Austrian income-tax law with its own rates and finality rules. Finmon files nothing.

Source: BMF Österreich · Besteuerung von Kapitalerträgen. Last reviewed: 2026-10-26. Editorially reviewed on 2026-10-26. Next review 2027-10-26. Version 0.2.0. Finmon explains. It does not advise. Not investment, tax or legal advice.