The city council of Vienna has reached an agreement – and it is entirely in the spirit of the Viennese people. The state tax on the ORF fee, i.e. the Körberl money that Vienna receives from it, is finally abolished! This decision will not leave a big hole in the budget, because a creative solution has been found: Austrians from other states pay the Vienna state tax. About a new rate.
A big day for ORF – and a lot is happening in Vienna too. The state levy on the ORF compensation will be a thing of the past on January 1, 2024. Until now, Viennese paid 5.80 euros per month or about 70 euros per year. This raised 36 million euros in the entire city, which Vienna also earned from the ORF viewers.
The current decision was preceded by a political dispute. The NEOS, the SPÖ’s coalition partner, was strictly against the state tax. The SPÖ was in favor of this and Viennese mayor Michael Ludwig could imagine a new compensation. These two opposing positions led to a stalemate in the negotiations on the twin budget for the next two years. Neither side wanted to give up. As a result, a total of 40 billion euros was on hold.
Who has to pay now?
Now a solution that allows both parties to save face: the state tax will drop AND there will be a new fee. But everyone else will pay them, except the Viennese. Like that? Here’s the explanation: Vienna introduces a second home tax for non-residents of Vienna. “In this way, those who have previously used the city’s offers and services – for example in the form of public transport or educational institutions – will also contribute to the whole of Vienna in the future, but for whom the Land of Vienna receives no revenue shares through financial equalization,” says from the office of City Councilor for Finance Peter Hanke (SPÖ).
In brief. Sabine K. has her main residence in Vienna-Liesing and a second home in Vienna-Ottakring. She does not pay this new tax. Hubert L. lives in Eisenstadt and occasionally lives in a second quarter in Vienna-Hietzing – he has to pay the tax. This means that almost all Austrians with a second home in Vienna finance the deficits of the abolished ORF state tax. This new “tax” is now being sent for review.
Peter Hanke and Deputy Mayor Christoph Wiederkehr on the agreement on the new financing logic in the context of the double budget 2024/25: “It is important to actively meet the challenges of a growing city in the current difficult economic environment and at the same time maintain a high quality of life for the Viennese population. Therefore, it is fair that everyone who uses the city’s infrastructure makes a fair contribution and that the burden on Viennese is relieved at the same time.”
It is not yet clear how high this new second home tax will be – and it is being calculated.
Source: Krone
I am Wallace Jones, an experienced journalist. I specialize in writing for the world section of Today Times Live. With over a decade of experience, I have developed an eye for detail when it comes to reporting on local and global stories. My passion lies in uncovering the truth through my investigative skills and creating thought-provoking content that resonates with readers worldwide.
