Austria · Company forms
Austrian Private Foundation (Privatstiftung)
We set up and administer Austrian private foundations for founders whose assets sit in more than one country.
- EUR 70,000 in dedicated assets
- A board of at least three, two of them resident in the EU or EEA
- EUR 605 in state fees from 1 August 2026
- It holds assets. It does not trade.
What a Privatstiftung is, and what we do
A Privatstiftung is an Austrian legal person to which a founder dedicates assets, to serve a lawful purpose the founder sets. It has no owners and no shares. It has a founder, beneficiaries and a final beneficiary instead. Its seat must be in Austria (§ 1 Abs. 1 PSG), and it exists only from the day the Firmenbuch enters it (§ 7 Abs. 1).
We draft the declaration for the notary, settle what belongs in each of the two deeds, test the board against the residence and eligibility rules, file the register application and the entry-tax return, and run the accounting and audit cycle afterwards. If you are still choosing a form, start with Company Registration Austria: Types of Companies in Austria.
What the foundation service includes
The structure decision.
Whether a foundation is the right holder at all, what its purpose should say, and who benefits. Sometimes the answer is a company instead, and the comparison is on holding austria.
The two deeds.
What must sit in the Stiftungsurkunde, which the register sees, and what may sit in a Stiftungszusatzurkunde, which it does not. Statute draws that line, not preference.
The notarial appointment.
The declaration is executed as a Notariatsakt (§ 39 Abs. 1 PSG). We prepare the text and the enclosure set. We are not the notary and we do not set his tariff.
The formation audit.
Where the EUR 70,000 is not raised in domestic cash, a court-appointed auditor must confirm the dedicated assets reach that value (§ 11 PSG). We assemble what he needs first.
The board.
At least three members, two habitually resident in the EU or EEA. We test every candidate against the § 15 Abs. 2 and Abs. 3 exclusions before anyone is named in a deed.
The register filing.
The first board files, with the deed in certified copy, its declaration that the assets are at its free disposal, the bank confirmation and the auditor's report where § 11 applies.
The entry-tax return.
Self-assessed and paid by the 15th of the second month after the liability arises (§ 3 StiftEG). Whether the rate is 3.5 or 25 percent turns on five conditions, four of them settled at formation.
What follows registration.
The books and the management report, the court-appointed auditor's annual audit, the beneficial-owner filing, the notification of each beneficiary, and the later court applications.
Who a Privatstiftung suits, and who it does not
It suits a founder who wants assets held past their own lifetime. Ownership leaves the founder for good, and the purpose in the deed decides what happens next.
It suits a long-term holder of shareholdings and property. A foundation can hold operating shares indefinitely, and the interim tax on its investment income comes back as a credit when it distributes.
It does not suit a business you intend to run. It may not trade beyond an ancillary activity and may not manage a trading company (§ 1 Abs. 2 PSG). To trade, read the GmbH guide or what a FlexCo is and how it differs from a GmbH.
It does not suit anyone in a hurry. It needs a notarial deed, sometimes a formation auditor, and a court-appointed auditor for life. To be operating quickly, look at our ready-made companies service.
How an Austrian private foundation is set up
Settle the purpose and split the two deeds.
The purpose must be lawful and must not offend § 1 Abs. 2 PSG. The § 9 Abs. 1 content and the § 9 Abs. 2 Z 1 to 8 rules stay in the Stiftungsurkunde; only the rest may move to a supplementary deed.
Execute the declaration as a notarial deed.
The Stiftungserklärung and every founder's declaration affecting the foundation's existence require a Notariatsakt (§ 39 Abs. 1). A foundation created on death also needs testamentary form.
Dedicate the assets.
At least EUR 70,000 (§ 4 PSG). Cash needs a domestic credit institution's confirmation; anything else needs the formation auditor of § 11.
Appoint the first board.
Three members at least, two habitually resident in the EU or EEA (§ 15 Abs. 1 PSG). A beneficiary may not serve, nor their spouse or partner, nor a relative to the third degree, nor any legal person (§ 15 Abs. 2).
File with the Firmenbuch.
The board files the deed in certified copy, its certified declaration that the assets are at its free disposal, the bank confirmation, and the auditor's report where § 11 applies (§ 12 Abs. 2).
The entry creates the foundation.
Registration is constitutive, and whoever acted in the foundation's name before it is jointly and severally liable (§ 7). The court is the commercial court for the seat (§ 13 Abs. 2, § 40).
Pay the entry tax and file the beneficial owners.
Entry tax falls due by the 15th of the second month after the liability arises (§ 3 StiftEG). Founders, beneficiaries or their class and every board member are reportable (§ 2 Z 3 lit. a WiEReG).
On timing: no statutory processing deadline exists and no official average is published, so we quote no registration date. Any duration you are shown elsewhere is an estimate.
What you will need to supply
- Photo identification for the founder, or a certified extract for a corporate founder.
- The purpose in the words you want, because the register publishes a statement of it.
- The proposed name, containing Privatstiftung unabbreviated and not misleading (§ 2).
- The beneficiaries, the body that determines them, or the class they come from.
- Whether you reserve amendment, and whether you reserve revocation (§ 33, § 34).
- Three board candidates, their habitual residence and any link to a beneficiary.
- A schedule of the assets, with the documents proving title and value.
- Any trust or nominee arrangement behind the founder, which the tax office must be told of.
- Certified translations and legalisation for foreign documents, where they are asked for.
Austria · Privatstiftung · seven formation steps
- 01 /
Settle the purpose and split the two deeds
The purpose must be lawful. The required content stays in the Stiftungsurkunde; only the rest may move to a supplementary deed.
PSG § 9 - 02 /
Execute the declaration as a notarial deed
The Stiftungserklärung and every founder’s declaration affecting the foundation’s existence require a Notariatsakt.
PSG § 39 Abs. 1 - 03 /
Dedicate the assets
Cash needs a domestic credit institution’s confirmation; anything else needs a formation auditor.
At least EUR 70,000PSG § 4 and § 11 - 04 /
Appoint the first board
A beneficiary may not serve, nor their spouse or partner, nor a relative to the third degree, nor any legal person.
3 members, 2 resident in the EU or EEAPSG § 15 - 05 /
File with the Firmenbuch
The deed in certified copy, the board’s certified declaration that the assets are at its free disposal, the bank confirmation and, where it applies, the auditor’s report.
PSG § 12 - 06 /
The entry creates the foundation
Registration is constitutive, and whoever acted in the foundation’s name before it is jointly and severally liable. The court is the commercial court for the seat.
PSG § 7 and § 13No statutory processing deadline - 07 /
Pay the entry tax and file the beneficial owners
Founders, beneficiaries or their class, and every board member are reportable.
Entry tax due by the 15th of the second monthStiftEG § 3 and WiEReG § 2
Not sure a foundation is the right structure?
Send the assets, the people and what you want to happen to both. We will say whether a foundation fits and what the state will charge.
What the Austrian state charges
These are court fees fixed by statute, not our fees. The application fee is payable once per filing and is owed whatever the outcome.
| Item | From 1 August 2026 | Previous, from 1 April 2025 | Tariff reference |
|---|---|---|---|
| Eingabengebühr, application fee, Privatstiftung | EUR 260 | EUR 246 | TP 10 Z I lit. a Z 9, Anm. 5 |
| Eintragungsgebühr, registration fee, Privatstiftung | EUR 345 | EUR 326 | TP 10 Z I lit. b Z 9, Anm. 11 |
| Privatstiftung first registration, total | EUR 605 | EUR 572 | the two rows above |
| Paper filing instead of electronic legal communication | EUR 24 | EUR 23 | TP 10 Anm. 1 |
| Later amendment of the Stiftungsurkunde or the Stiftungszusatzurkunde | EUR 70 | EUR 66 | TP 10 Z I lit. c Z 10, Anm. 15 |
| Any court proceeding under the Privatstiftungsgesetz | EUR 614 | EUR 581 | TP 12 lit. e, Anm. 8 |
| GmbH first registration, for comparison | EUR 522 | EUR 493 | TP 10 Anm. 2 and Anm. 9 |
Court fees for an Austrian private foundation, Gerichtsgebührengesetz Tarifpost 10 Z I and Tarifpost 12 lit. e, in the amounts raised by BGBl. II Nr. 227/2026 from 1 August 2026. The EUR 614 row recurs, because a foundation returns to court for an organ appointment, for an unreserved amendment and for a transaction with a board member. Source: RIS, GGG Art. 1 § 32 with the Tarif, in the version in force from 1 October 2026.
How an Austrian private foundation is taxed
Three moments, and the middle one is a deferral rather than a saving. Rates on distributions sit alongside the austria dividend tax rate and are the same 27.5 percent.
| Moment | Charge | Rate | Paragraph |
|---|---|---|---|
| Going in | Stiftungseingangssteuer, foundation entry tax on a gratuitous contribution | 3.5 percent from 1 January 2026, 2.5 percent to 31 December 2025 | StiftEG § 2 Abs. 1, as amended by BGBl. I Nr. 25/2025 |
| Going in, penalty rate | the same tax where any of five conditions fails, including non-disclosure of the deeds to the Finanzamt für Großbetriebe by the due date | 25 percent | StiftEG § 2 Abs. 1 lit. a to e |
| Going in, land | real-estate transfer tax instead, increased by the Stiftungseingangssteueräquivalent on the difference between the Grundstückswert and any consideration | 3.5 percent surcharge | StiftEG § 1 Abs. 6 Z 5; GrEStG § 7 Abs. 2 |
| While it holds | Zwischensteuer, interim tax on interest, realised capital gains, derivatives, crypto and private property gains | 27.5 percent for calendar years from 2026; 23 percent for 2024 and 2025; 24 percent for 2023 | KStG § 22 Abs. 2 and § 13 Abs. 3, transitional § 26c Z 95 |
| While it holds, the offset | the interim-tax base is reduced by distributions made in the period on which capital yields tax was withheld and paid over | KStG § 13 Abs. 3, closing sentence | |
| While it holds, the credit | interim tax already paid is credited back on assessment once distributions bearing capital yields tax are made, at the rate of the year it was paid, oldest years first, tracked on an Evidenzkonto | 27.5 percent from 2026, 23 percent for 2024 and 2025, 25 percent for 2011 to 2022 | KStG § 24 Abs. 5 Z 3 to 5 |
| Coming out | capital yields tax on distributions of any kind to a beneficiary, with final taxation effect | 27.5 percent | EStG § 27 Abs. 5 Z 7 with § 27a Abs. 1 Z 2 |
| Coming out, the exception | a Substanzauszahlung, so far as it exceeds the opening Bilanzgewinn plus retained-earnings reserves plus the tax-book hidden reserves of the contributed assets and is covered by the Evidenzkonto. A distribution made in the accounts-preparation period does not count as substance until the auditor has confirmed the Bilanzgewinn | outside the 27.5 percent | EStG § 27 Abs. 5 Z 8 lit. a and lit. b |
| Ordinary corporate income | taxed as for any corporation | 23 percent for calendar years from 2024 | KStG § 22 Abs. 1 |
Austrian private foundation tax as the statutes stood on 17 September 2026. Sources: KStG § 22 Abs. 2, 27.5 percent from 2026 by BGBl. I Nr. 20/2025 with transitional § 26c Z 95; KStG § 13 Abs. 3 for what it reaches; and StiftEG § 2 Abs. 1, 3.5 percent from 1 January 2026 by BGBl. I Nr. 25/2025.
Austria · Privatstiftung · three tax moments, one of them a loop
- Panel 1 · In
Stiftungseingangssteuer
3.5 percentfrom 1 January 20262.5 percent to 31 December 2025On a gratuitous contribution. The rate becomes 25 percent where any of five conditions fails, including non-disclosure of the deeds to the Finanzamt für Großbetriebe by the due date.
StiftEG § 2 Abs. 1 lit. a to e, as amended by BGBl. I Nr. 25/2025 - Panel 2 · While it holds
Zwischensteuer
27.5 percentfor calendar years from 202623 percent for 2024 and 2025 · 24 percent for 2023On interest, realised capital gains, derivatives, crypto and private property gains.
KStG § 22 Abs. 2 and § 13 Abs. 3, transitional § 26c Z 95 - Panel 3 · Out
Kapitalertragsteuer
27.5 percenton distributions to a beneficiaryFinal taxation effectOn distributions of any kind. A Substanzauszahlung within the statutory limits sits outside the 27.5 percent.
EStG § 27 Abs. 5 Z 7 with § 27a Abs. 1 Z 2
↶Return: panel 3 back to panel 2Interim tax already paid is credited back on assessment once distributions bearing capital yields tax are made, at the rate of the year it was paid, oldest years first (KStG § 24 Abs. 5).
No total is shown across the three panels, because they fall on different persons in different years.
What a Privatstiftung is not for
It is not a company that trades.
Three prohibitions in one paragraph: no trade beyond an ancillary activity, no management of a trading company, no unlimited partnership interest (§ 1 Abs. 2 PSG).
It is not a way of paying less tax.
Tax falls going in, on retained investment income, and again on the way out. The interim tax returns as a credit only once the money is distributed and bears capital yields tax (KStG § 24 Abs. 5). It defers; it does not reduce.
It is not confidential in the way the market implies.
The supplementary deed stays out of the register, but the tax office gets both deeds and any concealed trusteeship behind the founder. Non-compliance goes to the money-laundering reporting office (KStG § 13 Abs. 6).
It is not a structure the founder still controls.
No beneficiary, no close relative of one and no legal person may sit on the board (§ 15 Abs. 2). Amendment and revocation are open only if reserved, and a corporate founder cannot reserve revocation (§ 33 Abs. 2, § 34).
It is not permanent by default.
A non-charitable foundation whose predominant purpose is providing for natural persons must be dissolved after 100 years, unless every final beneficiary unanimously continues it (§ 35 Abs. 2 Z 3).
Want the structure mapped before you commit?
Send the asset schedule and the people involved. We will set out the deeds, the board and what each tax moment costs, before anything is signed.
Who sees what register, tax office and the beneficial-owner register
This is the question the market answers vaguely, so here it is by audience, with the paragraph that puts each item where it is.
| Who | What they see | Paragraph |
|---|---|---|
| Anyone, through the Firmenbuch | the name, the seat, the service address, a short statement of the purpose, the date of the Stiftungsurkunde and of every amendment, the board members and their power of representation, and any supervisory board members | PSG § 13 Abs. 3, § 15 Abs. 5 |
| Anyone, through the Firmenbuch | that a Stiftungszusatzurkunde exists, and its date, and the date of every amendment to it | PSG § 13 Abs. 3 Z 3 |
| Anyone, through the Firmenbuch | the Stiftungsurkunde itself, which is filed in publicly certified copy | PSG § 12 Abs. 2 Z 1 |
| Nobody, through the Firmenbuch | the Stiftungszusatzurkunde, which is not submitted to the register court | PSG § 10 Abs. 2 |
| The tax office | both deeds in their current version, and any concealed trusteeship behind the founder; non-compliance after a request goes to the money-laundering reporting office | KStG § 13 Abs. 6 |
| The Finanzamt für Großbetriebe | every beneficiary the board determines, electronically and without delay. Failing to notify is an administrative offence, up to EUR 20,000 per concealed beneficiary | PSG § 5, § 42 |
| The beneficial-owner register | the founders, the beneficiaries or the class they are drawn from, and every board member. Anyone from the class taking more than EUR 2,000 in a calendar year is a reportable one-off beneficiary for that year | WiEReG § 2 Z 3 lit. a |
| Every beneficiary, on demand | the annual accounts, the management report, the audit report, the books, and both deeds; the court can order the inspection | PSG § 30 |
| The Stiftungsprüfer | the accounts, the bookkeeping and the management report, every year, within three months of their submission. He is appointed by the court, or by a supervisory board where one exists, and must be a sworn auditor or tax adviser who is not a beneficiary, an organ member or an employee | PSG § 14 Abs. 1, § 20, § 21 |
| Nobody | the annual accounts themselves. The board must keep books under the accounting provisions of the Unternehmensgesetzbuch and write a management report that also addresses fulfilment of the purpose, but the enumeration in PSG § 18 stops at UGB § 239 and never reaches the disclosure provisions of §§ 277 and following | PSG § 18 |
The last two rows are the ones most often stated without a source. They rest on PSG § 18, and the Wirtschaftskammer states the consequence in terms on its Privatstiftung page, read on 17 September 2026: the accounting rules must be followed and there is no disclosure obligation. The fourth row rests on PSG § 10 Abs. 2.
How this page is kept accurate
Last updated 17 September 2026. Every figure here is cited to the Austrian statute beside it, and every rate and fee carries the date it took effect and, where it has one, the Bundesgesetzblatt that set it. The Privatstiftungsgesetz paragraphs were read from the Federal Chancellery's open-data documents, not from a secondary summary. Our own fee is not published on this site: it is quoted on request.
Frequently asked questions
What is a Privatstiftung, and how is it different from a company?
An Austrian legal person to which a founder dedicates assets, to serve a lawful purpose the founder sets (§ 1 Abs. 1 PSG). It has no shareholders and no shares, so there is nothing to sell and nothing to transfer. It has a founder, beneficiaries and a final beneficiary instead, and its seat must be in Austria.
What does a private foundation do, and can it run a business?
It holds, administers and realises the assets dedicated to it, for the purpose its deed states. It may not carry on a trade beyond a mere ancillary activity, may not take over the management of a trading company, and may not be an unlimited partner in a registered partnership (§ 1 Abs. 2 PSG).
Who can set one up, and do I have to live in Austria?
One or more natural or legal persons may found one, and a foundation created on death may have only one founder (§ 3 Abs. 1 PSG). Nothing is asked of the founder's residence. The residence rule falls on the board: at least three members, two of them habitually resident in the EU or EEA (§ 15 Abs. 1).
How much does a Privatstiftung need to start, and does it have to be cash?
Assets worth at least EUR 70,000 must be dedicated to it (§ 4 PSG). They need not be cash. Where the minimum is not raised in domestic cash, a court-appointed formation auditor must confirm that the dedicated assets reach that value (§ 11), and dedicated cash needs a confirmation from a domestic credit institution (§ 12 Abs. 2 Z 3).
What is the difference between the Stiftungsurkunde and the Stiftungszusatzurkunde?
The Stiftungsurkunde carries the mandatory content of § 9 Abs. 1 PSG and is filed with the register in certified copy. A Stiftungszusatzurkunde may carry matters beyond that, other than those in § 9 Abs. 2 Z 1 to 8, and is not submitted to the register court (§ 10 Abs. 2). The register still records that one exists, and its date.
Can I sit on the board of my own foundation?
A beneficiary may not, nor a beneficiary's spouse or partner, nor anyone related to a beneficiary in the direct line or to the third degree of the collateral line, nor any legal person (§ 15 Abs. 2 PSG). A founder who is none of those is not excluded by that paragraph, and the Wirtschaftskammer reads it the same way.
What does the Austrian state charge to register a private foundation and to run one?
EUR 260 for the application and EUR 345 for the entry, EUR 605 in total, under Gerichtsgebührengesetz Tarifpost 10 Z I in the amounts in force from 1 August 2026 (BGBl. II Nr. 227/2026). Afterwards, EUR 70 for each amendment of a deed and EUR 614 for any court proceeding under the Privatstiftungsgesetz (Tarifpost 12 lit. e).
What is the interim tax on an Austrian private foundation, and did it change?
It changed. The Zwischensteuer on a foundation's separately taxed income was 23 percent for 2024 and 2025 and is 27.5 percent for calendar years from 2026 (KStG § 22 Abs. 2, as amended by BGBl. I Nr. 20/2025, transitional provision § 26c Z 95). It reaches interest, realised capital gains, derivatives, crypto assets and private property gains.
What tax does a beneficiary pay on a distribution?
Distributions of any kind from a Privatstiftung are income from letting capital in the beneficiary's hands, taxed at 27.5 percent with final taxation effect (EStG § 27 Abs. 5 Z 7 with § 27a Abs. 1 Z 2). A distribution falls outside that only so far as it is a Substanzauszahlung covered by the foundation's Evidenzkonto (§ 27 Abs. 5 Z 8).
Does Austria have inheritance tax, and does a private foundation avoid it?
Austria levies none. The inheritance and gift heads of the Erbschafts- und Schenkungssteuergesetz 1955 were struck down by the Constitutional Court (BGBl. I Nr. 9/2007 and Nr. 39/2007), and no tax under that act is levied where the liability arises after 31 July 2008. A contribution to a foundation bears the entry tax instead. See inheritance and gift tax in austria.
Can a Privatstiftung keep my name out of a public register?
No. The founders, the beneficiaries or the class they are drawn from, and every board member are beneficial owners under WiEReG § 2 Z 3 lit. a, and anyone from the class taking more than EUR 2,000 in a calendar year is reportable for that year. The supplementary deed is out of the register, not out of the tax office's file (KStG § 13 Abs. 6).
Can the founder change their mind, and can a foundation be wound up?
Only if it was reserved in the deed. Once the foundation exists the founder may amend the declaration only if amendment was reserved, and may revoke only if revocation was reserved; a founder that is a legal person cannot reserve revocation at all (§ 33 Abs. 2, § 34 PSG). Failing a reservation, the board may adapt the deed to changed circumstances with the court's approval.
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Start your Austrian private foundation
Tell us what the assets are, who is to benefit and what you want the purpose to say. You get the deed structure, the board test and the state fees in writing.