A draft amendment to income tax law in Slovakia contains provisions regarding changes to the rules for transfer pricing and thin capitalization. The amendment was accepted on August 2014, and if enacted, the changes usually would have an effective date of January 1, 2015. According to proposed legislation, new rules would be applicable for Slovak taxpayers related to other Slovak taxpayers. These taxpayers would be needed to make transfer pricing documentation. If the documentation were not submitted within 15 days after a request of production, taxpayers would be faced frequent penalty assessment of up to €3,000. The proposal would expand thin capitalization rules application to all legal entities (except banks, insurance companies, reinsurance companies and their Slovak branches, and collective investment companies) that are related parties. According to the legislative proposals, interest more than 25% of the value of the pointer calculated as profit or loss before tax on the basis of the local accounting rules or IFRS.thin
Russia: Simplification in VAT invoice
»
Related Posts
Slovak Republic tax authority introduces prefilled 2024 vehicle tax returns for certain taxpayers
The Slovak Republic’s tax authority has released a detailed document announcing the launch of a new service to prefill motor vehicle tax returns for 2024. The service is for taxpayers who use the tax authority's electronic mailbox and have
Read MoreEU Tax Observatory issues publishes paper on global minimum tax, profit shifting
The EU Tax Observatory has released a working paper titled Global Minimum Tax and Profit Shifting in October 2024 offering an in-depth analysis of tax data from the Slovak Republic. The findings suggest that the Pillar Two global minimum tax could
Read MoreSlovak Republic publishes guidance on VAT rate reduction for accommodation services
The Slovak Republic’s Financial Administration has released guidance detailing changes to the reduced VAT rate for accommodation services, which took effect on 1 January 2025. The guidance outlines how the new rate applies to advance payments,
Read MoreBrazil, Slovak Republic sign amending protocol to tax treaty
Representatives from Brazil and the Slovak Republic signed a protocol amending their 1986 income tax treaty on 10 December 2024. The treaty aims to avoid double taxation and prevent fiscal evasion over taxes and income between the two
Read MoreSlovak Republic: Parliament approves financial transaction tax amendment
The Slovak Republic Parliament has passed an amendment to the Financial Transactions Tax Act, which will take effect on 1 January 2025. The amendment introduces key changes to tax regulations, including clarifying and expanding exemptions,
Read MoreMoldova ratifies tax treaty protocol with Slovak Republic
Moldova published Decree No. 1676 of 3 December 2024 in the Official Gazette on 5 December 2024, enacting the law ratifying the amending protocol to the 2003 income and capital tax treaty with the Slovak Republic. The agreement between the Slovak
Read More