The government has declared new tax measure on VAT, personal allowance, Employment earnings and others in order to enhance the economic activity, on 4 September 2014.
- VAT: According to the declaration, VAT will be applicable on invoice payment time and also when the invoice issued for supply.
- Personal allowance: General personal allowance will be increased from HRK 2,200 to HRK 2,600 per month and pensioner’s allowance will be HRK 3,400.
- Employment earnings: Employment income tax will be increased by 40% (HRK 13,200).