The director of the company must be a person who is registered and living in Austria – this is important. Otherwise, the court may refuse to register the company.
There can be 1 or more directors in a company. They can represent the company independently or jointly on the principle of “collective signature rights”.
A 100% shareholder may not be an employee of the company. Employment is possible with an equity interest of up to 25%.
In GmbH, accounting is done by double-entry system – double-entry bookkeeping. And at the end of the year a balance sheet, a profit and loss account as well as two tax returns are prepared – for corporation tax and VAT.
The fixed rate of income tax (corporation tax) is 25% and the minimum is 1750 euros, even in the case of a loss-making year.