The Budget for 2017 was presented to the parliament on 20 September 2016. The Budget, measures will apply from 1 January 2017.

The following measures relate to corporate tax:

-The deductibility of representation expenses (relating to lunch, dinner, dinner parties and refreshments) will be abolished for income tax purposes.

-Interest on certain subordinated debt securities in the financial sector governed by EU Regulation on prudential requirements for credit institutions and investment firms will be non-deductible.

-Self-employed persons will be incentivized to hire new personnel. Accordingly, self-employed persons who did not employ any personnel previously, but will do so after 1 January 2017, only need to pay retirement pension insurance for the first 12 months of employment. This incentive will apply until 31 December 2021.

–In 2017, social security contributions payable by employers will be as follows:

a) retirement pension insurance: 10.21%;

b) health insurance: 4.35%;

c) unemployment and other labour market measures: 2.64%;

d) survivor’s pension insurance: 0.7%;

e) parenthood insurance: 2.6%;

f) occupational accident insurance: 0.2%; and

g) general salary tax: 10.72%.