The public revenue sharing scheme regulates the distribution of tax revenues among the federal, state and local governments and that of transfers from the federal level. As a consequence of the centralised tax revenue system it is the central financing source for the state and local authorities....

The 1996 budget constitutes an intermediate step in the process of fiscal consolidation. In its implementation the goal of reducing new debt was achieved. Envisaged spending cuts and revenues were right on target. The preliminary outturn for 1996 shows that a sound basis has been attained for...

A stagnating economy and a marked rise in unemployment prevented the attainment of a balanced public budget in 2002. Because of the persistent cyclical weakness and of the tax reform envisaged for 2004-05, a balanced budget position will be achieved only after 2007. In spite of a noticeable...

Through the year-2000 tax reform, the tax burden on private households and enterprises will be reduced by a total of ATS 32.5 billion by 2003. The effects of the present reform are more significant than those of the 1989 and 1994 tax reforms. The changes of the wage and income tax-rate table...

Cooperation between the federal, state and local governments is emerging as a central theme of Austrian fiscal policy. It derives its legal basis from the consulting mechanism and an intra-Austrian stability pact to be finalized by the end of 1998. State and local governments have agreed to...

This year, the Austrian Parliament has for the first time approved draft budgets for two successive calendar years. Fiscal policy is aimed at trimming the Federal deficit to 2.7 percent of GDP by 1997. Apart from major public spending cuts, which account for about two-thirds of the deficit...