Research Premium for Equipment: Two Ways to the Premium

In a Nutshell

• Equipment that is used for research counts either with the acquisition cost at once or with the yearly depreciation
• With the all-at-once option, the equipment must be used for research for several years, otherwise a premium reduction applies
• Since April 2026, there has been a separate rule for research on ongoing production

Equipment that is used for research increases the assessment base of the research premium, and 14% of it comes back as premium. Since 2026, there have been two ways to claim it: the acquisition cost counts either all at once or year by year. The rules on investments come from the Ministry of Finance's ordinance of December 2025, those on production from the one of April 2026.

The Two Options Compared

With both options, only the part of the equipment that is used for research counts. The difference lies mainly in when the premium arrives and whether there is a commitment. If equipment the company already owns is used for research for the first time, Option 1 counts its book value instead of the acquisition cost.

A Worked Example

A company buys a measuring device for €100,000 in January. The useful life is eight years, and the depreciation is even at €12,500 per year. The device is used 100% for research.

Here both options add up to €14,000, because the device is used for research over its entire useful life. Option 1 brings the premium right in the first year, but for this the device must be used for research as planned during the sustainability period, four years here. After that, changes no longer count.

If research use ends after five years, Option 1 stays at €14,000, while Option 2 comes to €8,750. Option 2 spreads the premium over eight years, without this commitment. If the device is used for research only 50% of the time, the amounts are halved.

What Is the Sustainability Period?

With Option 1, the company estimates at first use what share of the equipment will be used continuously for research during the sustainability period. The period itself is fixed and starts in the month after the first research use. It lasts until half of the (remaining) useful life has passed, but at most the financial year of first research use and the nine following financial years. In the example, that is four years.

• If the research share rises by more than 25% compared to the share applied so far, a premium surcharge applies.
• If it falls by more than 25% or research use ends, a premium reduction applies.

If research use ends early, the reduction is lowered by the premium on the depreciation for the research years. The result is roughly what Option 2 would have paid. If the change results from an unforeseeable event such as force majeure, there is no correction.

Which option is worthwhile depends on the equipment and on the plan for its use. This can be clarified in a conversation with StartMatch or with a tax adviser.

And Production?

If a company does research on a plant that is also used for ongoing production, and market-ready products are made in the process or research is done on products passing through, there has been a separate rule since April 2026. The requirement is that the company documents what is in the foreground.

• If the gain in knowledge is in the foreground, the entire related production cost counts.
• If the production of market-ready products is in the foreground, only the additional costs caused by the experimental nature count.

The rule applies to financial years that began after 31 December 2025. Pilot plants and prototypes remain subject to the existing rules.

Practical Tip

Three questions can be clarified before every purchase:

• Should the equipment be claimed with the acquisition cost at once or with depreciation?
• Will it be used continuously for research during the sustainability period, and how large is the research share? Record both in writing.
• For projects related to production, is the gain in knowledge or the production in the foreground? Note it in the project description.

Anyone who records the assessment before the purchase can prove it in an audit.

Sources

• Section 108c Income Tax Act 1988: research premium, rate of 14%
• BGBl. II No. 302/2025 of 18 December 2025: Research Premium Ordinance, Section 1 para. 2 no. 2 and para. 2a (investments, total expenses or depreciation, sustainability period), applies for the first time to premiums for the calendar year 2026
• BGBl. II No. 82/2026 of 1 April 2026: Research Premium Ordinance, Annex I Part B no. 10a (production-integrated research), applies for the first time to financial years that began after 31 December 2025

Apply for the Research Premium with StartMatch

The research premium is one of Austria's most attractive funding instruments. StartMatch supports companies throughout the entire application process: from identifying eligible projects to creating compliant application texts and calculating the assessment base.

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