Hot on the heels of recent remarks made by Austria’s Chancellor Werner Faymann pertaining to the taxation of the country’s wealthiest, Finance Minister Maria Fekter issued a categorical ‘no’ to the idea of introducing a wealth tax in Austria.

Rejecting demands by so many for the introduction of such a tax, Fekter underlined the fact that the government is already taxing all capital income in the country, by means of a savings tax, a levy on securities, as well as a property tax, and by imposing a corporate tax on the fixed assets of a company.

It would be “interesting to know”, the minister continued, what then should and could be taxed, unless a levy is imposed on personal possessions. Vehemently rejecting any such idea, Finance Minister Fekter argued that this would be a massive intrusion into the private sphere of individuals in Austria.

Fekter also warned that a rise in the existing property tax would merely increase the cost of housing and increase the burden on house builders in Austria.

Claiming that he is striving for justice and fairness, Chancellor Werner Faymann reiterated his commitment to taxing wealth in Austria in excess of EUR1m.

Rejecting opposition claims that his proposed tax on millionaires would affect the country’s middle classes, Faymann insisted that income taxpayers would not be affected by the plans. Individuals who for example inherited a small firm would not be asked to pay, he maintained, noting that the government now intends to examine the precise details of the tax.