Slovak Republic

Slovak Republic's Rankings
CategoryRankScore
Overall Rank1169.27
Corporate Taxes1958.64
Individual Taxes395.88
Consumption Taxes3454.52
Property Taxes387.12
Crossborder Taxes3455.23

The Slovak Republic ranks 11th overall on the 2021 International Tax Competitiveness Index, three spots better than in 2020.


Strengths

  • The personal income rate on dividends is very low at 7 percent (compared to an OECD average of 24.1 percent).
  • The Slovak Republic has better-than-average tax treatment of business investment in machinery, buildings, and intangibles.
  • Corporations can deduct property taxes when calculating taxable income.

Weaknesses

  • Companies are severely limited in the amount of net operating losses they can use to offset future profits and are unable to use losses to reduce past taxable income.
  • The VAT of 20 percent applies to approximately half of the potential consumption tax base.
  • The Slovak Republic has both a patent box and a super deduction for Research and Development expenditures.

Learn more about the tax system in Slovak Republic

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