Taxes in Croatia
Investors who want to start a business in Croatia and enter the European market need to familiarize themselves with the local tax system. Croatia has a seriously developed taxation system. Taxes are levied on all residents of the country, and such are citizens who have housing in the country or are physically in Croatia for more than 182 days a year. Residents of Croatia are required to pay taxes on all types of income, regardless of the country in which they are received.
Tax system
Entrepreneurial organizations in the republic are subject to two types of taxes: income tax and value-added tax.
Other taxes that companies face are:
- customs duties,
- real estate taxes,
- excise taxes,
- levy for social security.
Besides, municipal governments are empowered to levy additional taxes on top of the portion of income and income taxes that are paid to them from the central government.
Direct tax
Corporate income tax (corporate income tax), personal income tax, council tax levied by the government on behalf of the communes, property tax, a land tax levied by municipalities independently.
Indirect tax
VAT, excise taxes on fuel, tobacco, alcohol.
Fees
Annual registration tax, registration and stamp duties, import duties.
The tax rate in Croatia
| Tax | Tax Rate |
|---|---|
| VAT | 0% – 25% |
| Corporate income tax | 10% – 18% |
| Personal income tax | 15% – 35.40% |
| Dividend tax | 10% (plus surtax, if applicable) |
| Capital Gains tax | 0.12 |
| Property tax | 0% – 20% |
| Inheritance tax | 4% |
| International tax | 0% – 30% (depending on the income type) |
| Cryptocurrency tax | 10% – 18% |
Business in Croatia
Our company provides services for setting up a company in Croatia. The specialists of our company have the necessary knowledge, experience, and qualifications. We can offer a consultation with taxes in Croatia. Also, we provide business support, accounting, and other services necessary for your business. Our specialists have vast experience in this field of activity. We will be glad to help you successfully open a business in Croatia.
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Disclaimer
Tax laws and regulations are continuously evolving and can differ depending on personal situations. The information shared here serves as general guidance and may not represent the latest updates. It is strongly advised to seek the assistance of a qualified tax professional for specific and current advice pertaining to your circumstances.