Minister Pushes to Restore Tax-Free Holiday Pay

Minister Pushes to Restore Tax-Free Holiday Pay

APA/DPA/SINA SCHULDT

After the early-summer holiday stretch, Economics Minister Wolfgang Hattmannsdorfer (ÖVP) is calling for tax relief on holiday pay. Last December, the Federal Finance Court ruled that basic hourly wages paid for work on public holidays are taxable. The minister now wants the Income Tax Act amended so that wages and salaries for holiday work are once again tax-exempt.

Hattmannsdorfer pointed out to APA on Friday that hundreds of thousands of workers in hospitality, tourism, and health and social care often have to work on holidays. “Those who work on public holidays should receive their rightful pay tax-free,” he said.

The proposed change would amend relevant sections of the Rest Day and Income Tax Acts. The Oberösterreichische Nachrichten also reported on the former Upper Austrian state councillor’s initiative within the ÖVP’s labor-union wing.

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