This article presents a clear summary of the tax residency framework for individuals in Bosnia and Herzegovina (country code: BA) as it applies in 2025. The focus is on statutory rules, minimum day requirements, and specific provisions relevant to Brčko District.
Overview of Bosnia and Herzegovina Tax Residency Rules
For the 2025 tax year, Bosnia and Herzegovina applies a legal framework for determining individual tax residency that integrates both a day-count test and habitual residence criteria. There is distinct handling for individuals in Brčko District, and the data below summarizes core points extracted from the official regulations.
Key Tax Residency Criteria
| Rule | Applies in 2025? | Explanation |
|---|---|---|
| Minimum Days of Stay | 0 | No formal minimum number of days is set unless applying the 183-day rule. Other criteria may trigger residency with no day minimum. |
| 183-Day Rule | ✔️ Yes | Individuals spending 183 days or more in Bosnia and Herzegovina during a tax year are generally considered residents. |
| Habitual Residence | ✔️ Yes | Establishing a habitual residence in the territory can lead to tax residency, even if the precise number of days is under 183. |
| Center of Economic Interest | ❌ No | This factor is not applied in determining tax residency for individuals. |
| Center of Family Interest | ❌ No | No provisions are made for residency by virtue of family ties alone. |
| Citizenship | ❌ No | Being a citizen of Bosnia and Herzegovina does not in itself trigger tax residence. |
| Extended Temporary Stay | ❌ No | No explicit provisions are in place for residency status based solely on extended temporary stay. |
Special Provisions: Brčko District
Tax residency in the Brčko District has its own specific nuances, which are important for individuals residing in or earning income connected to this autonomous district. The following cases are relevant:
- Residents earning income from District Budget, working outside District: Individuals with residence in Brčko District who obtain income from the District’s budget for work performed outside the District are treated as residents there for tax purposes.
- Non-District residents earning income in the District: Individuals resident in other entities (Federation of Bosnia and Herzegovina or Republika Srpska), but earning income from an employer based in Brčko District, are considered residents of Brčko District for tax matters.
Summary Table: Bosnia & Herzegovina Individual Tax Residency Factors (2025)
| Residency Trigger | Applies (Yes/No) | Description |
|---|---|---|
| 183-Day Physical Presence | Yes | Spending 183 days or more in-country in the tax year concludes residency status. |
| Habitual Residence | Yes | Having a habitual (main) home in the country may establish residency even if the individual spends less than 183 days. |
| Residence in Brčko District with District-sourced Income | Yes | For those residing in the District, receiving income from its budget (even for out-of-District work) creates residency. |
| Non-district residents, Employer in District | Yes | Residing outside the District but earning income at an employer within the District also creates residency in Brčko District. |
| Economic and Family Centers, Citizenship, Extended Stay | No | These are not considered factors for tax residency in Bosnia & Herzegovina at present. |
Compliance Implications for 2025
For 2025, individuals must ensure they understand how either the 183-day rule or habitual residence status might impact their obligations for income tax in Bosnia and Herzegovina. The authorities apply territorial and factual criteria, so both time physically present and primary home status are key triggers. For those connected to Brčko District, employment location and income source play a decisive role.
Useful Official Resource
Pro Tips for Managing Your Tax Residency Status
- Keep consistent personal travel records within Bosnia & Herzegovina to evidence days present when nearing the 183-day threshold.
- Be aware of habitual residence provisions, as registering a main home may trigger local tax obligations even if your stays are short.
- If working with a Brčko District employer or budget, clarify your status as soon as possible to align your tax filings properly.
- Residency status affects not just personal tax, but can influence reporting requirements for foreign assets and other local compliance duties.
In summary, Bosnia and Herzegovina’s tax residency framework for individuals in 2025 integrates clear day-count and habitual residence rules, without considering economic interest or family ties. Particular attention is needed for those connected to Brčko District, where both source of income and location of residence play a decisive role. Properly tracking time in-country and your home registration status are critical for smooth compliance with local requirements.