Slovakia: registration of turnover tax has been changed

The Austrian Federal Economic Chamber reports that changes concerning the registration for turnover tax will enter into force in Slovakia on January 1, 2009. The limit of the annual turnover which subjects an entrepreneur to registration for turnover tax is reduced to € 35.000,-- (SKK 1,054.410,--). Therefore according to present estimates some additional 12.000 legal entities – about 10.000 of them being natural persons - will have to get registered as subject to turnover tax. The reason for this is an EU-guideline which must be realized after Slovakia joining the Euro-zone.

At present only those entrepreneurs must get registered whose turnover exceeded SKK 1,5m in the last 12 months. The new limit is € 35.000,-- and the registration has to be accomplished by the 20th of the month following the one in which the turnover will have reached this limit (within a maximum of 12 months). Foreigners must register at the tax office as subject to turnover tax before starting doing business in Slovakia.