Affecting both domestic and foreign businesses, a number of actions triggers the obligation to register for VAT in Slovakia. To provide a basic overview, our Slovak experts prepared a comprehensive eBook on value-added tax. Find out more about VAT rates, registration of taxable persons, communication with local tax authorities, compliance and VAT return filing, VAT refund to EU member states or third countries and penalties.
Download our free eBook on VAT in Slovakia or read more below.
VAT rates
Basic and reduced VAT rates
The basic VAT rate in Slovakia is 20%, but a reduced of 10% is also applicable. Although the reduced rate applies to a longer list that may change, in general, it may be applicable to pharmaceuticals, some medical products, books, dairy or meet products and accommodation. In any case, the actual product or service should be reviewed individually.
Export within and outside the European Union
The supply of goods to other EU member states are free from VAT, if delivered to a VAT payer registered in another EU member state and transported to such member state. The export of goods outside of EU is free from VAT but is subject to the confirmation of custom authorities on export from EU.
Taxable amount
The taxable amount equals everything that is deemed to be received or shall be received for the delivery of goods or services. In case of the import of goods from third countries, the taxable amount is based on the value of customs.
VAT registration of domestic taxable persons
Voluntary and obligatory registration
Voluntary VAT registration in Slovakia is possible, but only for a taxable person, i.e. person (natural or legal person) pursuing economic activity. The turnover threshold for obligatory VAT registration is EUR 49 790 within any 12-month period.
The deadline for filing the obligatory VAT registration falls on the 20th day of the calendar month following the calendar month in which the turnover threshold has been reached. In some special situations there is a shorter period applicable.
Group registration for taxable entities
In Slovakia, group registration for VAT is possible. Several taxable persons who have their seat, place of business or fixed establishment within the territory of the Slovak Republic and are financially, economically and organizationally connected, may participate in VAT group registration and as such be deemed as a single taxable person for VAT purposes.
Other specifications of the VAT registration
In Slovakia, a taxable person may become a VAT payer by law without previous registration. It may concern cases of real estate sale, business acquisition or part of a business by purchase or otherwise.
Besides the obligatory registration, Slovak taxable persons must register for the purposes of service delivery to other EU member states, or for the purposes of acquiring goods or services from other EU member states. Registration shall be done in advance.
VAT registration of foreign taxable persons
Definition of foreign taxable persons
Foreign taxable persons are entities without seat, place of business or fixed establishment located in Slovakia. Otherwise, they are considered as domestic taxable persons. I.e., the same rules are applicable on foreign persons having a fixed establishment in Slovakia as on domestic taxable persons.
Obligatory registration for foreign taxable persons
Foreign subjects in Slovakia are obliged to register for VAT before the commencement of an activity which is subject to VAT. The threshold for obligatory VAT registration due distance sale is EUR 35,000 per calendar year. VAT registration for distance sale must be done before the sale by which the threshold of EUR 35 000 will be reached within a calendar year.
However, as from July 1, 2021, the new rules implementing the Council Directive (EU) 2017/2455 and Council Directive (EU) 2019/1995 enter into force.
Communication with authorities
Local statutory representation for VAT
In Slovakia, local representation by a tax advisor is not obligatory. However, foreign persons may need local representation in specific situations.
Statutory language
Only Slovak language may be used for communication with the tax authorities.
Communication with authorities
A taxable person can communicate with the tax authorities in electronic format, via the data box of the tax administrator. However, a qualified electronic signature is required for the electronic communication.
VAT compliance and return filing
Tax period and deadline for VAT return filing
In Slovakia, the calendar month is considered as a tax period. A later change to calendar quarter is possible, but it is subject to several conditions.
The VAT return shall be filed till the 25th day following the respective tax period.
EC sales list and other documents
The EC sales list shall be filed till the 25th day following the respective period, which is in general the calendar month. The EC sales list may be filed for a period of calendar quarter if the value of delivered goods to other EU member states does not exceed the threshold of EUR 50 000 within a calendar quarter nor within the 4 previous calendar quarters.
Besides the VAT return, the control statement listing information from issued and received invoices must be filed as well.
VAT refund to EU member states
Minimum amount and applicable period
The value of requested VAT must be at least EUR 50 for the respective calendar year.
The VAT refund may be requested also for shorter periods than a whole calendar year, however such period shall not be shorter than 3 calendar months and the value of VAT must be at least EUR 400.
Deadline and place of filing for VAT refund
The deadline for filing a VAT refund request is September 30 of the subsequent calendar year. The request for VAT refund shall be filed at the local tax authority in the other EU member state. The deadline for VAT return is 10 working days after laps of period for delivery of the decision made on the VAT refund, which may be between 4 to 8 months since filing VAT refund request.
Specific deadline of March 31, 2021 (instead of September 30) should apply for the 2020 VAT refund for VAT payers established in UK because of Brexit.
Refund for foreign taxable persons
Upon the fulfilment of specific conditions. VAT refund for a foreign taxable person is possible.
VAT refund to third countries
VAT refund conditions
VAT refund to third countries is possible only upon the fulfilment of specific conditions, including reciprocity.
Minimum amount and applicable period for VAT refund
The value of requested VAT must be at least EUR 50 for the respective calendar year.
The VAT refund may be requested for the whole calendar year or for half calendar year. However, in case of the later, the value of the requested VAT has to exceed EUR 1,000.
Deadline and place of filing for VAT refund
The deadline for filing a VAT refund request falls on June 30 of the subsequent calendar year. The request for VAT refund shall be filed at the Tax office in Bratislava, Slovakia. The deadline for VAT return is 6 months after filing the refund request.
Penalties for VAT non-compliance
Depending on the nature of breach of the law, penalty for non-compliance can be imposed in form of fine, based on situation and severity, up to EUR 32 000, or in the form of interest, up to 10 % p.a. Delay interest for late payment is 15 % p.a.
