Slovenia’s Ministry of Finance announced the Draft Bill on Amendments to the Corporate Income Tax Act on 6 June, 2024.

The main measures of the bill simplifies the interest deduction limitation rules by eliminating the existing thin capitalisation rule while retaining the new 30% of EBITDA rule and increasing the safe harbour threshold from EUR 1 million to EUR 3 million; introduces a five-year limit on the carryforward of tax losses, with a transitional seven-year limit for accrued losses; amends the tax relief for investments in digital and green transitions to permit unused relief to be carried forward for up to five years; and abolishes the standardised expenditure system for determining the tax base of legal entities.

The tax measures are expected to go into effect from 1 January, 2025, after approval.