Serbia Corporate Income Tax Guide 2026
Serbia's corporate income tax (CIT, Porez na dobit pravnih lica) is a flat 15% โ one of the most competitive rates in Southeast Europe. Generous incentives include a 0% rate for start-ups in their first 3 years and 50% tax relief for capital investments exceeding RSD 1 billion.
Overview โ Corporate Tax System
Serbia's corporate tax system is administered by Poreska uprava. The standard CIT rate of 15% applies to all legal entities. The tax year is the calendar year, though companies may apply for a different fiscal year. Corporate tax returns are due by 15 April of the following year. Serbia's 15% rate is highly competitive regionally, matching rates in Bulgaria (10%) and Romania (16%) while offering superior incentives for investors.
Standard CIT Rate โ 15%
The standard corporate income tax rate is 15% on taxable profit. Taxable profit is calculated as accounting profit adjusted for tax purposes (non-deductible expenses, tax-exempt income, transfer pricing adjustments, etc.). Capital gains realised by companies are included in taxable profit and taxed at the standard 15% rate.
Withholding tax rates on payments to non-residents: dividends 20% (0% for EU/FATF residents and with DTT), interest 20% (0% EU, 0% with DTT), royalties 20% (0-10% with DTT).
Start-Up Incentive โ 0% CIT for 3 Years
Serbia offers a significant incentive for qualifying start-ups:
- 0% CIT rate for the first 3 years of operation
- Eligible for investments up to EUR 100,000
- Zero social contributions for new hires in the first 2 years
- Available to newly established companies meeting certain criteria
Investment Relief โ 50% CIT Reduction
Companies making capital investments exceeding RSD 1 billion qualify for a 50% reduction in CIT liability. This relief is available for investments in fixed assets (machinery, equipment, buildings) and is designed to attract large-scale industrial and manufacturing projects to Serbia.
Free Zone Incentives
Serbia's free zones offer substantial tax benefits:
- 10 years at 0% CIT for investments exceeding EUR 100 million
- After the 10-year period, the standard 15% rate applies
- Exemption from customs duties on imported equipment and materials
- VAT benefits for goods imported into and exported from free zones
Transfer Pricing
Serbia has transfer pricing rules aligned with OECD guidelines. Related-party transactions must be conducted at arm's length. Documentation requirements apply for transactions exceeding certain thresholds. Serbia's extensive network of over 65 DTTs provides mechanisms for dispute resolution and advance pricing agreements.
FAQs
What is the corporate tax rate in Serbia?
The standard corporate tax rate is 15%. Start-ups can benefit from 0% for the first 3 years, and large investors can get 50% relief for investments over RSD 1 billion.
When is the corporate tax filing deadline?
The annual corporate tax return must be filed by 15 April of the following year. VAT returns are filed monthly.
Are there free zones in Serbia?
Yes, Serbia has several free zones (e.g., Belgrade, Novi Sad, Niลก, Subotica, Zrenjanin) offering 0% CIT for 10 years for investments over EUR 100 million, plus customs and VAT benefits.
Disclaimer
This guide provides general information about Serbian corporate tax for the 2026 tax year. Tax laws and rates may change. Always consult with a qualified Serbian tax advisor or Poreska uprava directly for advice specific to your situation. InvestmentKit does not provide tax advice.