Austria to change Familienbonus Plus distribution rules in 2027

Starting with the 2027 tax assessment, new regulations will change how the Familienbonus Plus tax credit is distributed between parents in Austria. For children who have completed their fourth year of life, a single parent can no longer claim the entire bonus. Instead, the credit must be split using either a 75:25 or a 50:50 ratio.

Exceptions to these rules apply to children under the age of four or in cases where increased family allowance is received. In such instances, a 100:0 or 50:50 split remains possible, even if a younger sibling under four lives in the same household. The total amount of the bonus remains unchanged, providing up to 2,000 euros per child per year, or 700 euros for adult children receiving family allowance.

Tax experts from the Chamber of Labour warn that families could potentially lose up to 500 euros per year if the split is not optimized, particularly if one parent earns significantly less or works part-time. Parents currently receiving the bonus through payroll must submit a new declaration, specifically Form E 30, to their employer to account for the 2027 changes.