Slovenia Corporate Income Tax Guide (CIT)

Corporate Tax Rate

• Standard rate: 19% on taxable profits.
• Small enterprise rate: 10% for companies with annual revenue below EUR 1 million and at least 2 employees. This is one of the most competitive small business rates in the EU.
• Taxable profit is calculated as accounting profit adjusted for tax-deductible and non-deductible items.

Key Deductions & Incentives

Investment Relief

• 40% of capital investment in new equipment and intangible assets may be deducted from the tax base, subject to a maximum deduction of EUR 40,000 per year.
• Unused relief may be carried forward for up to 5 years.

R&D Incentives

• 100% deduction of qualifying R&D costs from the tax base.
• 15% tax credit on qualifying R&D expenditure, creditable against CIT liability.

Employment Incentives

• Additional deductions for hiring young workers, older workers, and long-term unemployed persons.
• Tax relief for apprenticeship programs.

Loss Carry-Forward

• Tax losses may be carried forward indefinitely (introduced in recent reforms).
• Loss carry-back is not permitted.
• Loss utilization is capped at 50% of the tax base in any given year (subject to a de minimis threshold).

Group Taxation

• Slovenia does not have a formal group taxation regime. Each legal entity is taxed separately.
• Transfer pricing rules apply to transactions between related parties, requiring arm's length documentation.

Filing & Payment

• Tax year: Calendar year (unless a different business year is approved).
• Annual return deadline: 31 March of the following year.
• Advance payments: Monthly or quarterly instalments based on the prior year's tax liability.
• Withholding tax: Dividends 25% (0% EU parent-subsidiary), interest 25% (0% EU companies), royalties 15% (0–5% EU).