Slovenia legal and accounting and tax considerations in 2024

• Corporate taxes

  1. Standard corporate income tax in Slovenia is 19% rate with full exemption available for certain activities, including i) pension insurance and ii) venture capital companies;
  2. Tax losses can be carried forward only up to 50% of the tax base. Carryback of losses is not permitted;
  3. Capital gains are calculated as part of corporate income and incur 19% fixed taxation;

• VAT and Withholding taxes

  1. The standard Value Added Tax (VAT) rate in Slovenia is 22%, with a reduced rate of 9.5% applied to specialized industrial products. Mandatory VAT registration is required for annual return higher than €50,000. VAT payments are filed and submitted every month by the 20th;
  2. Withholding taxation on i) dividends, ii) interest and iii) royalties incur 15% withholding tax unless reduces by a double-taxation treaty;

• Miscellaneous taxes

  1. Employers are required to submit social security contributions of up to 16,1% of the gross employee salary;
  2. There is no stamp duty applicable in Slovenia;
  3. Slovenia does not implement net wealth tax, which is applicable to other EU countries, including France, Spain and Netherlands;

• Tax filings and other information

  1. Tax returns must be filed monthly or quarterly on an annual basis filled within three months from the end of each tax period. Late payments of corporate tax will incur progressive penalties;
  2. Slovenia has signed double taxation avoidance agreements with 60 countries including i) Singapore; ii) Qatar; iii) Estonia and iv) UAE;
  3. It is important our Clients’ are aware of their personal and corporate tax obligations in their country of residence and domicile; and they will fulfill those obligations annually. Let us know if you need Healy Consultants’ help to clarify your annual reporting obligations.

Legal and compliance

• Company regulation

  • The Agency of the Republic of Slovenia for Public Legal Records and Related Services (AJPES) is the main regulating body of the Online Business Portal (e-Vem) and the European Business Register (EBR). These register allow registered users, both resident and non-resident individual users can view specific information business information about Slovenian companies including: i) company’s name, business address and ii) identification of managing body and ownership;
  • The two most popular business entities are the Slovenian limited liability company (d.o.o.) and joint stock companies (d.d.). The minimum issued share capital of the Slovenian LLC is €7,500 fully paid-up and for the JSC company is €25,000, with 25% paid in cash before registration;
  • JSCs in Slovenia must submit annual audited financial statements and appoint a certified auditor for this purpose.

• Staff regulations

  • The labor regulations require each employee to receive their employment contract in both Slovenian and, if applicable in another language they can understand;
  • The maximum probation (trial) period cannot exceed six months. During trial period the minimum termination notice cannot be less than one month. Only in few specified cases, including i) criminal offence and ii) gross negligence, the employer is allowed to terminate without prior notice;
  • The minimum wage in Slovenia is fixed at €790 from June 2015;
  • In accordance with the Slovenian Employment Relationship Act, the standard work week: i) for full time positions cannot exceed a maximum of 40 hours of work with and ii) included five working days from Monday to Friday. Night work is limited to i) 8 hours per week and ii) 20 hours per month;
  • In Slovenia all employees are granted:
    • Up to four weeks of paid annual leave;
    • 18 days of national holidays;
    • 55 days sick leave paid at full hourly wage;
    • 105 days of paid maternity leave and
    • 260 days of paternal leave.
  • All claims from labor conflicts must be deposited to the applicable specialized labour courts as settlement body;

• Other business regulations

  • Slovenia joined the European Union on the 1^st of May, 2004 and the Eurozone on the 1^st of January, 2007. In most cases both business and financial laws follow the European Union guidelines and regulations;
  • The country is part of the Schengen Area since 21 December 2007 allowing border-free travel of up to 400 million citizens;
  • Slovenia is a member of the multinational military alliance – North Atlantic Treaty Organization (NATO) since 2004, agreeing on the terms of mutual defense between member countries;
  • Slovenia is a member of the World Intellectual Property Organization, since 1994 which consequently allows i) non-resident companies to apply for patent or a trademark free and ii) foreigners the same intellectual property protection rights as Slovenian nationals;
  • The country is a member of the Organization of Economic Co-operation and Development (OECD);
  • Slovenia is taking part of the UN Convention on the Recognition and Enforcement of Foreign Arbitral Awards (1958) (the New York Convention). Consequently, in case of arbitration awards made in countries that are party to this convention should be enforceable in Slovenia.