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In this page: Accounting Rules | Tax Rates | Intellectual Property | Legal Framework | Standards | Business Practices

 

Accounting Rules

Tax Year
The fiscal year begins on 1 January and ends on 31 December of the same year.
Accounting Standards
Slovak accounting standards (SAS), IFRS for large companies.
Accounting Regulation Bodies
Ministry of Finance
Accounting Reports
Businessmen and all commercial companies in Slovakia have to keep and prepare annually certain accounting documents:
- the balance sheet
- the profit and loss account
- the notes to the accounts
The structure of accounts as well as the balance sheet and the profit and loss account are inspired by the French model. European companies listed on the Stock Exchange must draw up their consolidated annual accounts on the basis of the standards of the IAS/IFRS.
Publication Requirements
Accounts are published annually.
Two schemas of publication for financial information are possible :
- A complete document for companies which are obliged to be audited by an independent auditor. These are companies listed on the Stock Exchange and companies which correspond to two of the following three criteria: the total of the balance sheet is over EUR 660,000; the net turnover is over EUR 1.3 million and the number of persons employed is over 20.
- An abbreviated document for businessmen and companies which do not have to audit their accounts.
Professional Accountancy Bodies
SKAu , Slovak Chamber of Auditors
SAF , Slovak association of corporate treasurers
Certification and Auditing
The Law on Accounting describes conditions under which companies must have their financial statements audited by a certified auditor. You can contact an external auditor: KPMG, Deloitte, Cascaya Slovakia, Ernst&Young, PricewaterhouseCoopers.
Accounting News
Einnews
IAS Plus

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Tax Rates

Consumption Taxes

Nature of the Tax
Dan z pridanej hodnoty (DPH) - Value Added Tax (VAT)
Tax Rate
20%
Reduced Tax Rate
There is a reduced rate of VAT amounting to 10 percent. This rate is applicable to certain pharmaceuticals and healthcare products and to books.

Certain supplies are exempt: healthcare (except for supplies of pharmaceuticals and health aids), public radio and television broadcasting (except for broadcasting of commercials and sponsored programs), education, financial services, cultural services, lotteries and similar games, Insurance and reinsurance services, exported goods, intra-Community supplies of goods, international transport of persons.

Other Consumption Taxes
There are consumer taxes on alcohol, beer, wine, tobacco and petrol. More detailed information on excise duties is available on the European Commission website.

Learn more about Service Providers in Slovakia on Globaltrade.net, the Directory for International Trade Service Providers.

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Corporate Taxes

Company Tax
22%
Capital Gains Taxation
Capital gains are taxed at a standard rate of 19%.
Main Allowable Deductions and Tax Credits
Some expenses are deductible: marketing costs, reimbursement of debt, etc.
Other Corporate Taxes
Tax on real estate, stamp duty, interest, royalties on patents, social contributions.
Other Domestic Resources
Consult Doing Business Website, to obtain a summary of the taxes and mandatory contributions.
 

Country Comparison For Corporate Taxation

  Slovakia Eastern Europe & Central Asia United States Germany
Number of Payments of Taxes per Year 20.0 28.0 11.0 9.0
Time Taken For Administrative Formalities (Hours) 207.0 260.0 175.0 207.0
Total Share of Taxes (% of Profit) 47.9 40.5 46.7 46.8

Source: Doing Business - Last Available Data.

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Individual Taxes

Tax Rate

Income Tax From 19% to 25%
From EUR 0 to EUR 35,022 19%
Above EUR 35,022 25%
Allowable Deductions and Tax Credits
Deductions are possible for health insurance premiums, complementary retirement insurance, interest on loans for the purchase of a residence, etc.
Special Expatriate Tax Regime
There is no special regime for expats.

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Double Taxation Treaties

Countries With Whom a Double Taxation Treaty Have Been Signed
See the list of double taxation Treaties signed by Slovakia.
Withholding Taxes
Dividends: 0%, Interest: 0/19%, Royalties: 0/19%

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Sources of Fiscal Information

Tax Authorities
Slovak fiscal administration
Other Domestic Resources
Slovak fiscal authorities
Consult Taxation trends in the European Union.

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Learn more about Taxes and Accounting in Slovakia on Globaltrade.net, the Directory for International Trade Service Providers.

Intellectual Property

National Organizations
Patents are granted by the Office of industrial property (the period of validity varies and may go up to 20 years). The AOC name exists in Slovakia and comes under the same Office. The Slovak organization for the protection of copyright is the Copyright Office which is dependent on the Ministry of Culture.
Regional Organizations
Slovakia is a member of the European Patents Office (EPO) and of the Office of Harmonization for the Internal Market (OHMI).
 

National Regulation and International Agreements

 
Type of property and law Validity International Agreements Signed
Patent
 
Law on Inventions, Industrial Designs and Rationalization Proposals (No. 527 of November 27, 1990)
20 years
Trademark
 
Law n° 55/1997 Coll. on patents modified by law  n° 577/2001 Coll., law n° 14/2004 Coll. and law n°610/2002 Coll.
10 years, renewable for a successive period of 10 years. Protocol Relating to the Madrid Agreement Concerning the International Registration of Marks
Design
 
Law on Inventions, Industrial Designs and Rationalization Proposals (No. 527 of November 27, 1990) and law n°444/2002 on designs.
5 years, renewable for four further 5-year periods with a maximum of 25 years.  
Copyright
 
Law on copyright (law n°618/2003 of 4 December 2003)
During the author's life and 70 years after his death. WIPO Copyright Treaty
Industrial Models
 
Law on Inventions, Industrial Designs and Rationalization Proposals (No. 527 of November 27, 1990)
When the validity of the registration expires or if the owner of the industrial model renounces his rights.  

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Legal Framework

Independence of Justice
Slovakia has an independent judiciary, though there has been concern about judicial corruption and backlog of cases.
Equal Treatment of Nationals and Foreigners
Foreign nationals can expect an impartial trial from the country’s judicial system.
The Language of Justice
The judicial language used in the country is Slovak.
Recourse to an Interpreter
Having an interpreter is possible.
Sources of the Law and Legal Similarities
The main source of the law is the constitution of 1992 (amended in 1998 & 2001). The country’s civil law system is based on Austro-Hungarian codes. The legal code was modified to comply with the obligations of the Organization on Security and Cooperation in Europe (OSCE) and to expunge Marxist-Leninist legal theory. Slovakia accepts compulsory ICJ jurisdiction but with reservations. Being a member of the European Union, the national law in Slovakia needs to comply with the conditions of the Community legislation.
Checking National Laws Online
The Slovak Constitution (in English)
Lexadin (in English)

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Standards

National Standards Organizations
Slovak office for standards, metrology and testing (UNMS)
Slovak institute for technical standards (SUTN)
Integration in the International Standards Network
At the European level:
- Member of the European Committee for Standardization (CEN)
- Member of the European Committee for Electrotechnical Standardization (CENELEC),
- Member of the European Telecommunications Standards Institute (ETSI)  

At the international level:
- Member of the International Standard Organization (ISO)
- Member of the International Electrotechnical Commission (IEC),
- Member of the International Telecommunication Union  (ITU),

Classification of Standards
STN is the Slovak certification mark.
CE is the European certification mark. It is obligatory so that a product can be sold in the country.
Online Consultation of Standards
The STN catalog
The catalog of European standards
The ISO catalog
Certification Organizations
Slovak National Accreditation Service

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Business Practices

General Information
Communicaid
Kwintessential
Opening Hours and Days
Closed in the week between 4 pm and 6 pm.
Closed on Saturday and Sunday. Some shops and hypermarkets are open on Saturday, or even Sunday.
 

Public Holidays

New Year and Independence Day of the Slovak Republic 1 January
Epiphany and Orthodox Christians' Christmas 6 January
Good Friday the Friday before Easter (March/April)
Easter Monday March/April
Labor Day 1 May
Liberation of the Republic 8 May
St Cyril and St Methodius 5 July
Anniversary of the Slovak National Uprising 29 August
Slovak Constitution Day 1 September
Our Lady of Sorrows 15 September
All Saints' Day 1 November
Fight for Freedom and Democracy Day 17 November
Christmas Day 25 December
St Stephen 26 December
 
 

Periods When Companies Usually Close

End of year holidays Between 25 December and 6 January
Easter From Easter Friday to Monday
 

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Last Updates: December 2014