Taxation in Serbia

Part of a series on
Taxation
An aspect of fiscal policy
Policies Government revenue Property tax equalization Tax revenue Non-tax revenue Tax law Tax bracket Flat tax Tax threshold Exemption Credit Deduction Tax shift Tax cut Tax holiday Tax amnesty Tax advantage Tax incentive Tax reform Tax harmonization Tax competition Tax withholding Double taxation Representation Unions Medical savings account
Economics General Theory Price effect Excess burden Tax incidence Laffer curve Optimal tax Theories Optimal capital income taxation Distribution of Tax Tax rate Flat Progressive Regressive Proportional
Collection Revenue service Revenue stamp Tax assessment Taxable income Tax lien Tax refund Tax shield Tax residence Tax preparation Tax investigation Tax shelter Tax collector Private tax collection Tax farming
Noncompliance General Tax avoidance Repatriation tax avoidance Tax evasion Tax resistance Tax shelter Debtors' prison Smuggling Black market Unreported employment Corporate Tax inversion Transfer mispricing Base erosion and profit shifting (BEPS) Double Irish Dutch Sandwich Single Malt CAIA Locations Tax havens Corporate havens Offshore financial centres (OFCs) Offshore magic circle Conduit and sink OFCs Financial centres Financial Secrecy Index Major examples Ireland as a tax haven Ireland v. Commission Leprechaun economics Liechtenstein tax affair Luxembourg Leaks Offshore Leaks Paradise Papers Panama Papers Swiss Leaks United States as a tax haven Panama as a tax haven
Types Direct Indirect Per unit Ad valorem Aviation Airport improvement Landing Solidarity Capital gains Expatriation Consumption Departure Hotel Sales Stamp Television Tourist Value-added Dividend Environmental tax Carbon Eco-tariff Landfill Natural resources consumption Severance Steering Stumpage Excise Alcohol Cigarette Fat Meat Sin Sugary drink Tobacco General Georgist Gift Gross receipts Hypothecated Income Inheritance (estate) Land value Luxury Payroll Pigouvian Property Resource rent Single Surtax Turnover Use User charge/fee Congestion Fuel Road/GNSS Toll Vehicle miles traveled Corporate profit Excess profits Windfall Negative (income) Wealth
International Financial transaction tax ATTAC Currency transaction tax European Union Common Consolidated Corporate Tax Base (CCCTB) Global minimum corporate tax rate Robin Hood tax Tobin tax Spahn tax Tax equalization Tax treaty Exchange of Information Permanent establishment Transfer pricing European Union FTT Foreign revenue rule
Trade Custom Duty Tariff Import Export Tariff war Free trade Free-trade zone Trade agreement ATA Carnet
Research Academic Mihir A. Desai Dhammika Dharmapala James R. Hines Jr. Ronen Palan Joel Slemrod Gabriel Zucman Advocacy groups Institute on Taxation and Economic Policy (ITEP) Oxfam (UK) Tax Foundation (US) Tax Justice Network (TJN) Tax Policy Center (US)
Religious Church tax Eight per thousand Teind Tithe Fiscus Judaicus Leibzoll Temple tax Tolerance tax Jizya Kharaj Khums Nisab Zakat
By country All Countries List of countries by tax rates Tax revenue to GDP ratio Tax rates in Europe Individual Countries Albania Algeria Argentina Armenia Australia Azerbaijan Bangladesh Bhutan Brazil Bulgaria BVI Canada China Colombia Croatia Denmark Finland France Germany Greece Hong Kong Iceland India Indonesia Iran Ireland Israel Italy Japan Kazakhstan Lithuania Malta Morocco Namibia Netherlands New Zealand Norway Pakistan Palestine Peru Philippines Poland Portugal Russia South Africa Sri Lanka Sweden Switzerland Taiwan Tanzania United Arab Emirates United Kingdom United States Uruguay
Business portal Money portal
v t e

Taxation in Serbia consists of the following; the standard corporate tax rate in Serbia is 15%, although some deductions might apply.^[1] The standard VAT rate is 20% and the lower rate is 10%.^[2] Income from dividends is a subject to a 15% tax.^[3] Serbia has tax treaties with most countries in, but few outside, Europe.^[4]

The standard monthly payroll tax rate is 10%. However, if a physical person earns more than 3 times of an average salary, they are also liable for an additional annual income tax, which has two "brackets". The first "bracket" of the annual income tax encompasses salaries and certain other (but not all) incomes that are 3 times average salary, with an additional tax rate of 10% being applied. As the second "bracket" , if a person earning six times the average salary, an additional 15% is applied on top of the previously described taxes. It must be clear that all the tax rates described are cumulatively applied, one on top of the other.^[3]

Obligatory contributions for state funds by an employee (up to a certain amount) include:^[5]

• 14% state pension fund
• 5.15% state health fund
• 0.75% unemployment insurance

Obligatory contributions for state funds by an employer (also capped) include:

• 12% state pension fund
• 5.15% state health fund
• 0.00% unemployment insurance

The effective personal income tax rate is therefore somewhere in the range 20–41%.^[6]

Capital gains, including dividends and interest are not subject to personal income tax, since all three regimes of income tax (monthly payroll tax, annual 10% tax, annual 15% tax) are in essence schedular. However, it has been noted that Serbian government and government-controlled media have frequently falsely claimed that the annual income tax is a synthetic tax that encompasses all possible types of incomes, even going so far as to baselessly proclaim that the person paying the most annual income tax in a year is "the richest man in Serbia",^[7] thus hiding the underdevelopment and uncertainty of the tax law in Serbia and the growing income disparity. In reality, virtually none of the controversial oligarch-like financiers in Serbia (such as Milan Radoičić and Miroslav Mišković) living in obvious wealth pay the annual income tax, because their wealth is derived from capital and not encompassed by either the payroll or income taxes.^[8]