This thesis deals with the treatment of renting and sales of properties from an Austrian Income Tax and Value Added Tax point of view. Reference is made only to properties held as private assets, and the thesis goes into details about the changes due to the tax reform 2015/2016. The main focus is on the additional tax burden for the taxpayer. This is explained clearly by examples. Finally the thesis focuses on the option to treat renting and sales of properties, which are generally tax-exempt from Value Added Tax, as taxable revenues and the input tax adjustment.