Austria's draft law for a €2 package fee on large online retailers has entered parliamentary review. The measure aims to offset VAT cuts on basic groceries but faces criticism for increasing bureaucracy and inflation.
Vienna, May 11, 2026
A proposed €2 fee on online packages delivered in Austria, targeting retailers with annual revenues exceeding €100 million, is now under parliamentary review until May 26. The levy, intended to fund a reduction in VAT on basic food items starting September 1, has sparked backlash from trade groups and political opponents who warn it will raise consumer prices and burden domestic businesses.
Trade associations and political leaders have condemned the measure as counterproductive. Rainer Will, managing director of Austria’s Trade Association, called it a "2-Euro-Österreich-Aufschlag im Onlinehandel" ("€2 Austria surcharge on e-commerce") in a Tuesday statement. He argued the fee would "die Preise im E-Commerce erhöhen, durch die Meldepflichten weitere Bürokratie erzeugen und zusätzlichen Inflationsdruck erzeugen, der gegen die geplante Entlastung bei Grundnahrungsmitteln durch die Mehrwertsteuer-Halbierung wirkt" ("increase e-commerce prices, create additional bureaucracy through reporting requirements, and generate inflationary pressure that undermines the planned relief on basic groceries through VAT reduction").
Michael Schnedlitz, secretary-general of the far-right FPÖ party, accused the government of attacking local commerce under the guise of taxing international firms: "Hier wird unter dem Vorwand, internationale Onlineunternehmen zu besteuern, ein direkter Anschlag auf den heimischen Handel und die Geldbörsen der Bürger verübt" ("This is a direct assault on domestic trade and citizens’ wallets under the pretext of taxing international online companies").
The fee would apply only to business-to-consumer (B2C) transactions, exempting B2B online shops. Officials estimate it could generate €280 million annually for federal and state budgets, offsetting the VAT reduction on staple foods. However, the Trade Association has urged the government to abandon what it calls a "nationalen Alleingang" ("national solo effort") and instead align with existing EU e-commerce regulations.
The parliamentary review period ends May 26, with the measure slated to take effect September 1 if approved. Critics argue the timing clashes with the VAT cuts, potentially negating their economic relief for households.
