Austria Publishes 2025 Budget Act: VAT Exemption for Contraceptives and Menstrual Products from 2026

On June 30, the Austrian Official Gazette published Law No. 25, known as the Budget Accompanying Act 2025, introducing a range of fiscal measures aimed at reshaping the country’s tax framework.

Among the headline provisions is a new VAT exemption for contraceptives and menstrual hygiene products, effective January 1, 2026, a move expected to reduce consumer costs and promote equitable healthcare access.

The Budget Accompanying Act 2025 reflects Austria’s broader effort to modernize its tax system while targeting social, economic, and environmental priorities.