FPÖ Criticizes WKO's Call for Tax Exemption on Tips as Political Maneuvering

Sat 19th Apr, 2025

In a recent statement, the Freedom Party of Austria (FPÖ) expressed strong disapproval of the request made by the President of the Economic Chamber of Austria (WKO), Mahrer, for a tax exemption on gratuities. The FPÖ argues that this demand lacks credibility and is merely a political tactic by the ÖVP party.

The FPÖ's tourism spokesperson highlighted that tips are a vital source of income for employees in the hospitality and tourism sectors, which are already grappling with low wages and staffing issues. Despite the importance of gratuities, the proposed tax exemption was notably absent from the recent program negotiated by Mahrer and the ÖVP, leading the FPÖ to question the sincerity of the request.

The spokesperson pointed out that the current tax-free threshold for tips, set between 40 and 50 euros, is inadequate. With the rise of cashless payments, there are concerns that the tax authorities might increasingly target tips for taxation. This scenario, according to the FPÖ, could deal a severe blow to the entire hospitality and tourism industry.

Furthermore, the FPÖ criticized Mahrer's timing in advocating for complete tax exemption, suggesting it appears disingenuous given the absence of such proposals in the ÖVP's governmental agenda. The spokesperson expressed skepticism about the government's intentions, mentioning that the only reference to tips in the official program was a vague promise of 'evaluation' amidst broader budgetary challenges, which they interpret as indicative of future tax burdens.

The FPÖ remains steadfast in its position that the taxation of gratuities should be abolished entirely to support the struggling sectors of the economy.


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