Direct taxes - Corporate Income Tax

    Generic part

    Corporate income tax
    Daň z príjmov právnických osôb
    SK - Slovak Republic
    EUR
    Date
    Year
    1993/01/01
    2019/01/01
    2019/05/14 16:33:54

    Contact information

    Administration

    Ministry of Finance

    Service

    Website

    E-mail

    Telephone

    +421259584535

    Who sets

    The tax rate is set by

    • Central authority
    • Regional authority
    • Local authority
    • Social security

    The tax base is set by

    • Central authority
    • Regional authority
    • Local authority
    • Social security

    The reliefs are set by

    • Central authority
    • Regional authority
    • Local authority
    • Social security

    Beneficiary

    • Central authority
    • Regional authority
    • Local authority
    • Social security
    • Others

    Geographical Scope

    SK - Slovak Republic
    No Yes

    Taxpayers

    Which entities are liable for CIT?

    • Legal persons
    • Organizational units having no legal personality
    • Tax capital groups
    • Associations
    • Foundations
    • Companies having their seat or management office in other countries, provided that in their country they are treated as legal persons and are subject to tax on income
    • Public corporations
    • Others

    Which entities are exempt from CIT?

    National Bank of Slovakia

    Domestic-source income of non-resident entities is

    Taxed
    Not Taxed

    Tax object and basis of assessment

    As general rule, taxable income under corporate income tax includes also

    • Interest
    • Royalties
    • Dividends
    • Capital gains
    • Income from immovable property
    • Income from movable property not listed above
    • Income from agriculture

    Income considered

    Domestic income
    Worldwide income (subject to double-tax relief)

    Deductions, allowances, credits, exemptions

    Valuation of inventory

    • First-in first-out (FIFO)
    • Last-in first-out (LIFO)
    • Average cost
    • Specific identification

    Depreciation rules

    Buildings

    Depreciable
    Not-depreciable
    • Straight-line method
    • Declining balance
    • Production method
    • Combination of above
    • Other
    40 Years
    25 %

    Other fixed immovable assets (e.g. machinery)

    Depreciable
    Not-depreciable
    • Straight-line method
    • Declining balance
    • Production method
    • Combination of above
    • Other
    8 Years
    12.5 %

    Movable (tangible) assets (e.g. cars, furniture, work equipment)

    Depreciable
    Not-depreciable
    • Straight-line method
    • Declining balance
    • Production method
    • Combination of above
    • Other
    4 Years
    25 %

    Intangible assets (e.g. patents)

    Depreciable
    Not-depreciable
    • Straight-line method
    • Declining balance
    • Production method
    • Combination of above
    • Other

    Land (if any)

    Depreciable
    Not-depreciable
    • Straight-line method
    • Declining balance
    • Production method
    • Combination of above
    • Other

    Are there limits to interest deductions (other than thin capital rules)?

    No Yes
    25% of EBITDA (earnings before interest, taxes, depreciation and amortization)

    Is there an Allowance for Corporate Equity?

    No Yes

    Exemptions from taxable income

    No Yes
    • Income from participations (dividends)
    • Patents income (e.g. patent boxes)
    • Other, please describe
    gifts, income from NGOs

    Expenses that are generally not deductible:

    expenses which are not related to taxable income

    Losses

    Loss carry-forward exists?

    No Yes
    • Indefinite
    4 Years

    Loss carry-backward exists?

    No Yes
    • Indefinite

    Tax credits available?

    No Yes
    • For research and development investments
    • For training
    • Other, please describe:

    Rate(s) Structure

    21 %
    21 %

    Special tax rate for SMEs

    No Yes

    Measures against profit shifting

    Do Thin Capitalization (TC) rules exist?

    No Yes
    2015/01/01
    • Explicit TC law
    • Part of CIT law
    • Arm’s length
    • Ratio
    1 : 4
    interests
    EBITDA
    Internal
    Internal and external

    TC depends on shareholding?

    No Yes
    25 %
    Direct
    Indirect

    Automatic remedy

    No Yes
    • Non-deductibility of interest
    • Reclassification as dividend
    All companies
    Foreign companies
    Non-EU companies

    Transfer pricing rules exists?

    No Yes
    No Yes
    • Fee
    • Tax base increase

    Special features

    Is group taxation available?

    No Yes

    Is there a specific anti-avoidance provision in the legislation?

    No Yes

    International aspects

     
    Treaty countries
    Non-treaty countries
    Repatriated profits are taxed according to the following system
    • Exemption system
    • Tax credit
    • Deduction
    • Exemption system
    • Tax credit
    • Deduction
    Interest received is taxed
    No Yes
    No Yes
    Tax rate on interest received
    21 %
    21 %
    Outgoing dividends withholding tax
    0 %
    35 %
    Outgoing royalty payments withholding tax
    19 %
    35 %
    Outgoing interest payments withholding tax
    19 %
    35 %
    Foreign losses (of either subsidiaries or permanent establishments) can be set-off
    No Yes
    No Yes
    If yes :
    Minimum direct or indirect shareholding to qualify loss-offset (if applicable)
    0 %
    Loss carry-forward exists?
    No Yes
    No Yes
    If yes :
    Time limit
    • Indefinite
    4 Years
    • Indefinite
    4 Years
    Size limit
    Loss carry-backward exists?
    No Yes
    No Yes
    If yes :
    Time limit
    • Indefinite
    • Indefinite
    Size limit
    Controlled foreign company (CFC-) rules exist?
    No Yes
    No Yes
    If yes :
    Time limit:
    • Indefinite
    • Indefinite
    Size limit
    0
    0
    Threshold for capital or voting power held directly or indirectly by resident in non-resident company:
    50 %
    50 %
    CFC-rules apply if foreign tax rate is lower than:
    50 %
    50 %
    CFC-rules apply for passive income only?
    No Yes
    No Yes

    Tax due date

    When has the tax return to be filed

    • 3 months after closing of the tax period
    • 6 months after closing of the tax period
    • Later than 6 months after closing of the tax period
    • Date set by the Authority
    • Other
    • Extensions of the deadline are possible

    Advance tax payments due?

    No Yes
    • Monthly
    • Quarterly
    • Bi-annual
    • Annual
    • Other

    Tax collector

    General comments

    Economic function

    • Consumption
    • Labour Employed (paid by employers and employees)
    • Labour Non-employed
    • Capital income: corporations
    • Capital income: income of households
    • Capital income: income of self-employed
    • Capital stocks

    Environmental taxes

    • Energy
    • Transport
    • Pollution/resources

    Tax revenue

    d51o
    Year Annual tax revenue (in millions) % of GDP % of total tax revenue -
    2017
    2,772.393
    3.2674 %
    9.9155 %
    2016
    2,829.047
    3.4829 %
    10.8254 %
    2015
    2,916.816
    3.6857 %
    11.5325 %
    2014
    2,504.402
    3.2915 %
    10.6181 %
    2013
    2,117.83
    2.8554 %
    9.486 %
    2012
    1,714.78
    2.3586 %
    8.3617 %
    2011
    1,699.19
    2.4059 %
    8.4281 %
    2010
    1,659.23
    2.4553 %
    8.77 %
    2009
    1,576.97
    2.4631 %
    8.5578 %
    2008
    2,087.47
    3.1627 %
    10.9234 %
    2007
    1,835.46
    3.2635 %
    11.202 %
    2006
    1,599.05
    3.5121 %
    12.0109 %
    2005
    1,344.52
    3.417 %
    10.9042 %
    2004
    1,171.95
    3.3772 %
    10.688 %
    2003
    1,118.24
    3.7195 %
    11.4043 %
    2002
    926.11
    3.5206 %
    10.7112 %
    2001
    878.61
    3.6806 %
    11.2277 %
    2000
    813.05
    3.6383 %
    10.7662 %

    Footnotes