When passing on orders in the field of building services in the sense of § 19 al. 1a of the Value-Added Tax Act, the client will be liable for any contributions and allocations relating to social insurance law, which need to be paid by the commissioned company, up to a maximum of 20% of the wages paid.
The company placing the order will equally be liable for the charges depending on wages, which need to be levied by the Tax Office and need to be paid by the commissioned company, up to a maximum of 5% of the wages paid.
Liability also covers charges or contributions to be paid that are not linked with the concrete order or the order placed.
The client will be relieved of client liability if the commissioned company is, at the moment of the payment of the wages, mentioned in the overall list of the companies relieving of liability. If this is not the case, client liability can also be avoided as follows: As for 25% of the wages to be paid, the client decides not to pay this amount to the contractor but to the Service Centre of the WGKK (“Wiener Gebietskrankenkasse” – Viennese Local Health Insurance Fund).
Client liability for social insurance – list of companies relieving of liability