Thinking about starting a business in Serbia?

What do you need to know about Serbian taxation system?

When starting a business in Serbia, it is highly recommended to acknowledge some basic facts about their taxation system. Despite the inevitable support you will receive by the experts like Taxofia, we kindly invite you to learn a few basic things about the tax system in Serbia.

Corporate income tax is applicable to all legal persons. The Republic of Serbia calculates taxes based on documents provided by the accountant in the final budget. The latter includes the company’s invoices, account statements, transport documentation etc., issued within a fiscal year from 1 January to 31 December. Corporate profit tax is 15%.

In case the amount paid is higher than the amount calculated by the authorities, the company will receive an advance payment for the following taxation period. On the other hand, if the calculated amount is not paid in total, the company is required to pay the remaining amount via an advance payment.

The standard VAT is 20%, while the capped VAT is 10% (for food, newspapers, accessories, IT etc.) Some services, like transport services and services regarding goods import and export, are free of VAT.

We hope you found this article useful. For any questions or if you are thinking about starting a business in Serbia, please fill out the form below or contact us on info@taxofia.com.