The Austrian Federal Fiscal Court (Bundesfinanzgericht; BFG) had to decide a case of a foreign artist who moved to Austria and requested favorable tax treatment in accordance with sec 103 para 1 of the Income Tax Act. To be granted such favorable treatment, the taxpayer has to provide sufficient documentation on the additional tax burden resulting from relocation to Austria. The BFG has recently clarified that the decision as to whether or not there is an additional tax burden is to be based on the outcome of an overall economic assessment. In this context, according to the court’s judgment, the isolated analysis of Austrian taxes does not meet the requirements of sec 103 para 1 of the Income Tax Act. Christoph Seydl takes this judgment into consideration and presents his views on the favorable tax treatment for relocation to Austria.