"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," emphasizes Dr. Frank Hüpers, Managing Director of the Chamber of Skilled Crafts for Munich and Upper Bavaria. (Photo: © alekstaurus/123RF.com)
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"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.
Since mid-2024, the Austrian federal government has been paying private individuals a skilled trades bonus. The subsidy amounts to 20 percent of the skilled trades costs if the work is carried out around the private residence in Austria. This subsidy is capped at €2.000 in 2024 and at €1.500 per year from 2025 onwards. However, customers only receive the subsidy if the work is carried out by a company with its registered office or branch in Austria.
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 covert disadvantage for our members and a preferential treatment of Austrian businesses, as customers, knowing this, will be more likely to hire a tradesperson from Austria. Therefore, we have filed an official complaint with the European Commission for a violation of the European state aid rules ,” reports Dr. Frank Hüpers, Managing Director of the Chamber of Skilled Crafts for Munich and Upper Bavaria . They have asked the EU Commission to work towards restoring a situation that complies with EU law.
"The freedom of movement guaranteed under European law, for example in the form of the freedom of establishment and the 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's no problem to hire an Austrian, Dutch, or Polish tradesperson. You can claim the tax credit of 20 percent of the labor costs up to a maximum of €6.000 (a total of €1.200) even if the tradesperson's company is from another EU or EEA country, or if you have your holiday home in another EU country renovated by local businesses.
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