As expected, the Slovenian National Assembly has approved amendments to six tax laws. They introduce significant changes, particularly for “lump sum taxpayers”. The key changes, most of which will take effect on January 1, 2025, are as follows:
Key Changes and Updates
- New Tax Relief for Young Highly Qualified Professionals:
- A new tax relief will be introduced for highly qualified professionals under the age of 40 who return to Slovenia after studying or working abroad, as well as for foreign nationals with high salaries. These individuals will enjoy a reduced income tax for five years.
- Tightened Rules for Lump Sum Taxpayers (“Normiranci”):
- The threshold for full lump sum taxpayers will be lowered from €100,000 to €60,000 (annual income) for regular lump sum taxpayers and from €30,000 to €30,000 for those with secondary activities (part-time lump sum taxpayers).
- Higher VAT on Sugary Beverages:
- The Value-Added Tax (VAT) rate on sugary drinks will increase from 9.5% to 22%, aiming to reduce consumption and promote healthier choices.
- Incentives for Employee Ownership:
- Employee ownership will be encouraged with favorable tax treatment for rewards and shares offered to employees.
- Limits on Carrying Forward Tax Losses:
- The carrying forward of tax losses will be limited to five years. Similarly, tax reliefs for digital and green investments will be transferable over the next five years.
- Tax Simplifications for Real Estate:
- Administrative procedures for real estate will become more digitalized. Additionally, paper notifications regarding real estate values will be limited to a one-time dispatch by the end of 2025.
These changes aim to streamline the tax system, promote sustainability, and encourage investment, while also tightening rules for certain taxpayer categories.
For more information or assistance with adapting to the changes in the new tax laws, please feel free to contact our consultants HERE.
