Corporate income tax
Corporate income tax is regulated by the Corporate Income Tax Act (ZDDPO-2) and is a elementary tax in the field of direct corporate income taxation:
- 19% taxation of profits and the withholding tax rate of 15%,
- Up to 100% tax relief for investments in research and development,
- Up to 40% tax relief for investments in equipment and intangible fixed assets.
Capital gains tax
Capital gains are taxed with personal income tax at a proportional rate, which is in principle 27.5%, without taking into account tax reliefs.
- Income tax on capital gains is calculated and paid from the tax base at a rate of 25% and is considered a final tax.
- For each completed five years of capital ownership, the tax rate is reduced as follows:
- After five years of ownership capital gains are taxed at 15 percent
- After ten years of ownership capital gains are taxed at 10 percent
- After fifteen years of ownership capital gains are taxed at 5 percent.
Profit return tax
0% for profits generated in EU countries,
15% for profits generated in non-EU countries, unless bilateral agreements provide other arrangements.