Craftsmen's bonus: Chamber of Crafts files complaint with EU Commission

"The Austrian craftsmen's bonus discriminates against businesses without a registered office or branch in Austria," says the Chamber of Skilled Crafts for Munich and Upper Bavaria. The Chamber is filing a complaint with the EU Commission.

This article is part of the special topic Tax bonus for tradesmen's invoices: What you should know

The Austrian federal government has been paying private individuals a craftsman's bonus since mid-2024. The subsidy amounts to 20 percent of the craftsman's costs if the work is carried out around a private residence in Austria. This subsidy is capped at €2.000 in 2024 and €1.500 per year from 2025 onwards. However, customers will only receive the subsidy if the work is carried out by a company with Headquarters or branch in Austria be performed.

Dr. Frank Hüpers Photo: © Chamber of Crafts for Munich and Upper Bavaria

If a craft business from Germany, such as neighboring Upper Bavaria, receives the contract, its client does not receive the craftsman bonus.

"We see this as a hidden discrimination against our members and a preference for Austrian companies, as customers with this knowledge are more likely to commission a tradesman from Austria. Therefore, we have an official Complaint to the European Commission for Violation of the European ban on state aid inserted," reports Dr. Frank Hüpers, Managing Director of Chamber of Crafts for Munich and Upper BavariaThe EU Commission has been asked to work towards restoring a situation that complies with EU law.  

"The freedom of movement guaranteed by European law, for example in the form of Freedom of establishment and freedom to provide services, is a core element of the internal market," Hüpers continued.

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Source: Chamber of Crafts and Trades for Munich and Upper Bavaria

Tip: In Germany, it is no problem to hire an Austrian, Dutch, or Polish craftsman. Here, you can claim the tax bonus of 20 percent of labor costs up to a maximum of 6.000 euros (i.e. a total of 1.200 euros) You can also use this if the tradesman's business comes from another EU or EEA country or if you have your holiday home in another EU country renovated by local companies. 

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