The Slovak Parliament has adopted a law related to public finances enhancement, changing and amending certain laws on December 19, 2023.
One of the adopted measures is also a change in Income Tax Act 595/2003 Coll. as amended, reintroducing so-called tax licences into the Slovak legal system, effective as of January 1, 2024. A tax licence shall mean the minimum tax amount due by a taxpayer/legal entity, even though it recorded a loss in the respective tax period.
Tax licence amount
| Taxpayer´s revenues | Tax licence / year |
| Up to EUR 50,000 | EUR 340 |
| From EUR 50,000 to EUR 250,000 | EUR 960 |
| From EUR 250,000 to EUR 500,000 | EUR 1,920 |
| From EUR 500,000 | EUR 3,840 |
The tax licence amount is reduced to half for taxpayers employing staff with health impairment/disability though under the condition that the average registered number of employees with health impairment/disability forms at least 20% of the total average of the registered number of employees.
Exempted from tax licences are
- Newly established companies, e.g. taxpayer, is exempted from the tax period in which it was established
- Civil associations, non-profit organisations offering generally beneficial services, and foundations
- General partnerships
- Taxpayers operating a protected workshop or workplace
- Taxpayers in the tax period in which it commenced liquidation or bankruptcy
- Landowners´ associations with taxable incomes below EUR 10,000
Tax licences only apply to legal entities. There is no obligation to pay the tax licence for physical persons; i.e. tax licences shall not apply to small traders or individuals performing activities under special regulations.
The first tax licence shall be paid by a taxpayer within the tax return filed for tax year 2024 until March 31, 2025. The tax licence shall be due within the same deadline as the tax duty, i.e. the deadline for submitting the tax return.
JUDr. Róbert Madej, PhD.
