Tax concessions
Last reviewed 29 Mar 2023
Direct
None
Indirect
Income tax concessions, e.g.
Under certain conditions the following tax concessions are applicable:
- for the employment of new persons who were continuously registered as unemployed for at least six months before the National Employment Agency
- for the employment of a disabled person for an indefinite period of time
- for the employment of shareholder of new established company who perform innovative activity
- for the employment of qualified new employees
- for the employment of employees who are directly engaged in R&D
- for the employment of newly settled persons in Serbia
- for the employment of new employees
Tax credits
Family Bonus Plus:
N/A
Children surplus:
N/A
Sole earner deduction pa.:
N/A
Single parent deduction pa.:
N/A
Child deduction:
there is a deduction prescribed for annual income tax for members of the family that are financially depend on the taxpayer
Alimony deduction:
N/A
if in employment / pension income p.a.:
N/A
Allowances and exemptions
Profit allowance:
Investment allowance:
A taxpayer who invests in an alternative investment fund, i.e. in the purchase of an investment unit of an alternative investment fund, is granted the right to a tax credit for the annual personal income tax of up to 50% of the investment made in the calendar year for which the annual personal income tax is determined. The tax credit cannot exceed 50% of the annual tax liability. If a taxpayer disposes of shares or units in an alternative investment fund within the year of investment or the following three years, the taxpayer will loss the right to the tax credit. The taxpayer must inform the Tax Authority within 30 days of losing the right and repay the tax credit with interest from the due date of the annual personal income tax for the relevant year.
Government subsidies
For employers salaries are financed by the Government for maternity leave of employees for the period of one year (two years for third child).
Parental allowance for a child born on January 1, 2024 and later, as follows:
- for first child - one off allowance in amount of EUR 4,267
- for the second child - 24 equal monthly installments of EUR 213
- for the third child - 120 equal monthly installments of EUR 162
- for the fourth child - 120 equal monthly installments of EUR 226
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