Reduced corporate tax in 2020 in Slovakia

Starting in 2020, corporate income tax will fall from 21% to 15% in Slovakia. This applies to all business entities with a turnover of up to EUR 100,000. Parliament passed an amendment to the Income Tax Act. 131 of the 143 Members present voted in favor.

The amendment aims to introduce a reduction in the corporate income tax rate, which is in line with the government’s policy statement. According to one of the petitioners, the lower tax should apply to a turnover of up to EUR 100 000 in order to make the system transparent.

Corporate income tax will be reduced from 21% to 15% with effect from 1 January 2020. “Such a reduction in the tax rate is made possible by significantly more efficient tax collection and accelerating the growth of the Slovak economy. At the same time, lowering the tax rate will not only stimulate the inflow of new investments, but it is also possible to expect the generation of domestic innovation potential,” explained the nationalists.

resource: spravy.pravda.sk