The Slovak Republic’s tax authority has released a guide on the new Financial Transaction Tax (FTT) on 27 December 2024. It provides clarification concerning the “taxpayer” definition, exempt transactions, tax calculation, and reporting obligations.
The guide’s Annex also includes Frequently Asked Questions (FAQs) focused on foreign legal persons and their liability to the FTT. In addition, the FAQs clarify the recharging costs subject to the FTT, as well as the securities, financial instruments, and cash pooling transactions that are exempted from FTT.
Earlier, the parliament reviewed a draft bill to abolish the financial transaction tax on 6 November 2024. The amendment changes tax regulations by clarifying exemptions and capping the transaction tax at EUR 40 per transaction.
This follows after the Slovak Republic Parliament had passed an amendment to the Financial Transactions Tax Act, which will take effect on 1 January 2025.
