Taxes in Europe Database v2
Act No. 595/2003, as last amended by Act No. 463/2013.
Others – taxpayers (companies) can assign 1.5% of their paid corporate income tax to non-profit organizations. They can increase the assignment to 2% provided they donated another 0.5% of their tax liability.
There are options to use Straight-line method or Declining balance. Depreciation period of administrative and residential buildings is 40 years. Depreciation period of industrial buildings is 20 years. The average depreciation period just simple average of figures stated above.
There are options to use Straight-line method or Declining balance.
There are options to use Straight-line method and Declining balance.
Intangible assets are depreciated over their actual useful life.
Tax losses may only be carried forward for up to four years and only up to one quarter of accumulated losses can be deducted each year.
Since 2005 investment incentives in Slovakia are assigned to the government approved rules (dependent e.g. on region, unemployment rate…). The investment incentives are given according to the decision on the granted incentives of the Slovak Ministry of economics. The investment incentives are given in compliance with the EU law and have to be approved by the European Commission and Slovak government.
Since 2010 the R&D incentives are given according to the decision on the granted incentives of the Slovak Ministry of Education. The taxpayer is allowed to claim a tax relief up to the amount of the tax falling to the proportional part of the tax assessment base.
As of 2015, a new R&D tax relief scheme was introduced. The new relief is a tax deduction (i.e. allowance) for R&D expenditure with the possibility of a carry forward of up to four years for companies with insufficient profits or in a loss position. The deduction is calculated as the sum of three components: 25% of eligible R&D expenditures, 25% of increase in the R&D expenditures compared to the previous year and 25 % of labour costs of newly-hired graduates involved in R&D. These R&D tax allowances come on top of the standard deduction of the R&D costs and wages from the CIT base.
Outgoing dividends withholding tax
Outgoing interest payments withholding tax
0.00 – 15.00 %, depending on individual bilateral Double Tax Treaties
19.00 % and 35%, the second rate applies where no treaty about bilateral exchange of information exists
In general the tax period is considered to be a calendar year. If the tax administration authorizes the taxable party to use the financial year as its accounting period, at the same time it shall authorize the taxable party to use the financial year as its tax period.If the tax period, which coincides with the calendar year, is replaced by a financial year, then the period between the starting date of the calendar year and the date preceding the date of change of the tax period, shall be treated as a separate tax period.
Minimum annual tax, called tax license, is set at three levels:
480 Eur Small corporations, not registered to VAT
960 Eur Small corporations, registered to VAT
2,880 Eur Large companies (turnover over 500,000 Eur)
The minimum tax is paid as the ordinary CIT, i.e. when tax return is filed. The difference between the minimum tax and the tax calculated based on taxable income may be carried forward and deducted from tax liability up to 3 years. Companies in the first year of existence and non-profit organizations are exempt.