Austria's 4.9% VAT on food: what got cheaper in July and what stays at 10%
Updated: 28 September 2026
mitbringen compares your list across Hofer, Lidl, Spar and Billa. You still read the unit-price tag on the shelf.
Since 1 July 2026 you pay 4.9% VAT instead of 10% on milk, yoghurt, butter, eggs, vegetables, pome and stone fruit, rice, wheat flour, pasta, bread and salt in Austria. That makes these products about 4.6% cheaper. Cheese, meat, berries and oat flakes stay at 10%. On your receipt, the new rate shows up as its own tax group.
Which foods have 4.9% VAT
The list is in Austria's VAT Act. It has twelve groups:
| Group | Examples |
|---|---|
| Milk | whole milk, low-fat milk, lactose-free milk |
| Yoghurt | plain yoghurt |
| Butter | butter |
| Eggs | fresh hen's eggs |
| Vegetables, fresh | tomatoes, cucumbers, peppers, lettuce, carrots, onions, spinach, pumpkin |
| Vegetables, frozen | frozen peas, frozen leaf spinach |
| Fruit | pome fruit (apples, pears) and stone fruit (apricots, cherries, peaches, plums) |
| Rice | all kinds of rice |
| Flour and semolina | from wheat |
| Pasta | uncooked and unfilled |
| Bread | bread and rolls with no more than 5% fat and 5% sugar in the dry matter |
| Salt | table salt |
The test is not the name on the shelf but the product's customs code (KN). That's why two products that look alike can be taxed differently.
What stays at 10%
- Cheese, meat, cold cuts: not on the list. The government says meat was left out because of the cost.
- Berries, bananas, citrus fruit: only pome and stone fruit qualify.
- Rye flour, oat flakes: only wheat flour and semolina qualify.
- Fruit yoghurt: only if everything in it qualifies on its own. With fruit purée, muesli or chocolate pieces it stays at 10%.
- Creamed spinach: a prepared dish, not frozen vegetables, so it stays at 10%. Herb butter with only a little herb in it still counts as butter according to the BMF (4.9%).
- Bread with honey, egg, cheese, nuts or fruit: excluded, however little is in it. Nut bread, fruit bread and cheese sticks stay at 10%.
- Richer baked goods: croissants, brioche and many pretzel and seeded rolls are over the 5% limit. The retail trade told the Ministry of Finance that most rolls, such as Kornspitz, poppy-seed plaits or sunflower bread, are above it.
- Filled rolls: a plain Semmel is 4.9%, a ham roll is 10%.
- Drinks: mineral water and soft drinks are 20%, and that hasn't changed. Oat and soya drinks aren't on the 4.9% list either.
How to check your receipt
- Look at the bottom of the receipt. There's usually a breakdown by tax rate. Since July it has a line for 4.9%.
- Find the marker on each line. Most chains tag every item with a letter or the tax rate. How that looks differs by chain.
- Is the group right? Milk, butter or bread should be in the 4.9% group. Cheese and meat should be at 10%.
Note: there's no legal duty to pass the cut on to you. The Austrian Retail Association (Handelsverband) pledged on 24 June 2026 to pass it on in full.
Was the cut passed on?
Yes, for the products checked. The Vienna Chamber of Labour (AK Wien) compared 576 prices at seven chains in May and in July, without promotions. Its result on 23 July 2026: every chain checked passed the cut on in full.
Examples from the AK price monitor (price at 10% → at 4.9%):
- Clever Länger Frisch whole milk 1 l (Billa Plus): €1.39 → €1.32
- Schärdinger Sommerbutter 250 g (billa.at): €2.79 → €2.66
- Organic long-grain rice 1 kg (Hofer): €2.58 → €2.46
- Gala red apples 1 kg (Lidl): €2.29 → €2.18
Statistik Austria sees the effect too: food was 0.3% cheaper in August 2026 than a year earlier, even though overall inflation was 3.2%.
The government estimates the saving at about €100 per household per year. That's an estimate, not a measured figure.
What it means for your shopping list
The cut is the same size at Hofer, Lidl, Spar and Billa: about 4.6% on the same products. So it doesn't change which chain is cheaper for your list. Shelf prices and this week's deals still make the difference.
- Which chain is ahead on average: which supermarket is cheaper for your list right now.
- Pack versus kilo: compare unit prices.
- What else the AK price monitor shows for Vienna: grocery savings in Vienna.
- The other line on your receipt that isn't a price: bottle deposit, 25 cents.
mitbringen shows you this week's prices and deals at Hofer, Lidl, Spar and Billa for your shopping list. The app doesn't calculate VAT separately: it's already in the shelf price.
Make your list, see this week's prices →
Frequently asked questions
Which foods have only 4.9% VAT in Austria since 1 July 2026?
Milk (including lactose-free), yoghurt, butter, fresh hen's eggs, fresh and frozen vegetables, pome and stone fruit such as apples, pears, apricots and plums, rice, wheat flour and semolina, uncooked and unfilled pasta, bread, and table salt. What counts is the product's customs code (KN), not the name on the pack.
Does the 4.9% VAT rate apply to cheese and meat?
No. Cheese, meat and cold cuts are not on the list and stay at 10%. The same goes for berries, bananas, citrus fruit, rye flour, oat flakes, and bread made with honey, egg, cheese, nuts or fruit.
Is Austria's VAT cut on food temporary?
No. According to the Ministry of Finance, the 4.9% rate has applied since 1 July 2026 with no end date. The ministry keeps clarifying exactly which products qualify in its published guidance.
Why 4.9% and not 5%?
Austria already has the two reduced rates EU law normally allows, 10% and 13%. An extra rate is only allowed if it is below 5%. 4.9% is the closest figure under that line.