Академический Документы
Профессиональный Документы
Культура Документы
important legislative
changes in Slovakia as of
2017 I eBook
INTRODUCTION
TAXES 4
1.1 Value added tax ................................................................................................................... 4
1.2 Income tax ........................................................................................................................... 4
1.3 Tax administration and international exchange of information .................................................. 6
PAYROLL 8
2.1 Increased value of meal vouchers ......................................................................................... 8
2.2 Increase of minimum wage ................................................................................................... 8
2.3 Increase of maximum assessment base for social insurance contributions ............................. 8
2.4 Cancelation of maximum assessment bas e for health insurance contributions ......................... 8
2.5 Increase in daily assessment base ........................................................................................ 9
Dividends paid to domestic companies are taxed within the separate tax base at rate of 35% and
only if the distributing entity is based in a jurisdiction that does not have a tax treaty in force with the
Slovak Republic. Dividends paid by domestic companies to foreign companies based in jurisdictions
that do not have a tax treaty in force with the Slovak Republic are subject to a 35% withholding tax.
Transfer pricing
A taxpayer who is by means of transfer pricing deliberately decreasing the tax base or increasing the
tax loss shall pay stricter penalties. Such taxpayer will in this case pay twice as much. However, if
the taxpayer recognizes the breach and pays up the rest of the assessed tax in the given amount,
the stricter penalty will not apply. Stricter rules shall apply on the additionally assessed tax from the
tax control which starts after December 31, 2016.
The fee for applying for APA depends as of January 1, 2017 no longer on the value of the business
case, but is to be set as follows:
for unilateral APA: 10 000 EUR,
for bilateral and multilateral APAs: 30 000 EUR.
License fees will be added to the list of expenses that fall under payment condition. Expenses falling
under payment condition can be claimed as tax deductible expense only if paid. This change shall
apply for tax periods for which tax returns shall filed on or after January 1, 2017.
If the holder of a new vehicle (car manufacturer, representative of the manufacturer, authorized
retailer) will not transfer possession of the vehicle to another person up to 1 year and 15 days after
that date will not pay the full amount of the registration fee pursuant to a special regulation, he/she
will be obliged to increase the tax base by related tax depreciation charges, cost of operation,
technical improvements or repairs. Above mentioned shall apply to motor vehicles registered in
Slovakia as of February 1, 2017.
Material humanitarian aid provided abroad, that will be free of charge granted to the Ministry of the
Interior based on deed of covenant, will be considered to be a tax expense as of January 1, 2017.
The rate of lump-sum expenses which can be claimed by a sole entrepreneur as tax deductible
expenses are increased from 40% of the income to 60% of income since January 1, 2017. The
maximum amount of such lump-sum expenses cannot exceed EUR 20,000.
For more information, click HERE.
The tax payer has a possibility to file a protest against such levying order, which
initiates a standard procedure for levying the tax (a tax inspection and tax levying
procedure). If no protest is filed by the tax payer, this shall be deemed as its
approval with tax levying and hence no legal remedy shall be permitted.
Following decisions or rulings issued by Slovak tax authority will be subject of the
automatic exchange of information based on the Amendment to the Act on
international assistance and cooperation in tax administration:
Decisions on approval of the specific method on determining of tax base
of permanent establishments
Decision on approval of transfer pricing method (transactions between
related parties)
Advance cross-border binding rulings issues in compliance with Tax
Code.
Considering the EU rules, so-called country by country reporting will be implemented into Slovak
legislation as of 1.3.2017. However, this change has not been approved yet.
Introducing the aforementioned reporting, multinational groups with total consolida ted group
revenue reaching 750 million EUR or more shall file an annual report on inter alias amount of
taxes paid in particular countries to the tax authority based on the particular states. These data
should be subject to the automatic exchange between c ountries where the members of multinational
group are seated.
In this connection also notification obligation on identification of notifying subject (that will submit the
reporting for group) will be introduced. This duty should apply to all Slovak members of multinational
groups.
The aforementioned report should be submitted for the first time for the year 2016
Thus changes will be made in statutory sick pay paid to the Employees by the Employers for
the first 10 days of their sick leave.
The amendment to the Act on insurance introduces levy on all forms of non-
life insurance for insurance companies operating in Slovakia. The levy of 8%
from the received insurance premiums became effective as of 1.1.2017 and is
applicable to insurance contracts concluded after 31.12.2016.
At the same time, the amendment establishes a random selection of restructuring trustees, and
thereby prevents potential relations between a debtor and a trustee.
Electronic procedure shall only apply to the proceedings the subject-matter of which is a
finance dispute;
Only District Court Bansk Bystrica shall have the jurisdiction;
The payment order shall be issued within 10 working days from the filing of the motion
(and statutory requirements are fulfilled); and
Court fees shall be at 50% of the court fee for the procedure in a standard paper form.
As implied in the merits, the motion will be solely submitted via electronic means to the electronic
mailbox of the court and it will have to be signed with a qualified electronic signature.
Disclaimer
Please note that our material has been prepared for general guidance on the matter and does not
represent a customized professional advice. Furthermore, because the legislation is changing
continuously, some of the information may have been modified after the material has been released
and Accace does not take any responsibility and is not liable for any potential risks or damages
caused by taking actions based on the information provided herein.
AUTHORS
Katarna Balogov
Tax Director
Katarina.Balogova@accace.com
CONTACT US
Email: slovakia@accace.com
Monika.Bereznakova@accace.com
Patricia.Kralova@accace.com
13 | Overview of the most important legislative changes as of 2017