Austria's Ministry of Finance has announced that the first individual income tax bracket threshold will be increased from EUR 11,693 to EUR 12,500 in 2024 to account for inflation. As previously reported, the bracket thresholds are being adjusted for inflation in order to compensate for so-called "cold progression", which is the additional tax burden resulting from the tax system's failure to adjust for inflation. With the increase in the first bracket threshold, income of up to EUR 12,500 will be exempt (0% tax rate).