Until the end of 2025, there’s a limit on the growth of the tax base for lump-sum taxpayers

Through the amendment to the lump-sum Taxation Regulation, which came into effect on October 28, 2023, the Government of the Republic of Serbia has extended the application of the restriction on the growth of the tax base for lump-sum taxpayers to a maximum of 10% annually until the end of 2025. 

Flat rate entrepreneurs are obliged to pay taxes on income derived from independent activities based on a lump-sum determined income and a tax base determined by the Tax Administration for each year. 

It’s important to note that the 10% growth limitation on the tax base won’t apply if a lump-sum entrepreneur changes the activity code, municipality, or place of registration, except in the case of changing the municipality within the same city. 

A significant update for lump-sum taxpayers is the reduction of the base for business beginners by 50% in the calendar year, compared to the previous 20%. 

SHARE VIA: