This post provides a detailed overview of the corporate tax regime in Slovakia for the year 2025. The information below covers standard corporate tax rates, assessment methods, and key surtaxes relevant to companies operating or planning to operate in Slovakia.
Corporate Taxation Structure in Slovakia
Slovakia applies a progressive corporate income tax system, meaning tax rates increase with the level of taxable profit. The tax basis is assessed on corporate income, and the base currency is the euro (€).
Corporate Income Tax Brackets and Rates (2025)
| Taxable Income (EUR) | Rate (%) |
|---|---|
| €0 – €100,000 | 10% |
| €100,000 – €5,000,000 | 21% |
| Over €5,000,000 | 24% |
Please note: Official figures for the minimum and maximum holding periods are not publicly available as of 2025.
Surtaxes and Additional Levies for Companies
In addition to standard progressive corporate income tax, several sector-specific surtaxes and levies may apply. These are targeted at specific industries or transactions:
| Surtax / Levy | Rate (%) | Condition |
|---|---|---|
| Financial Transaction Tax (FTT) | 0.4% | On financial transactions resulting in debiting the entrepreneur’s bank account, max €40 per transaction |
| Insurance Premium Tax (IPT) | 8% | Applied on non-life insurance premiums |
| Special Tax on Banks | 0.025% | Applies to banks (rate will gradually decrease to 0.00363% from 2028) |
| Monthly Levy for Telecom Regulated Services | 0.01576% | From 2025 for regulated telecom industries (decreasing to 0.00363% from 2040) |
| Special Tax on Petroleum Industry | 0.025% | Applicable to companies in the petroleum sector |
Assessment Basis and Currency
Corporate tax in Slovakia is assessed on corporate profits. The official reporting and payment currency is the euro (EUR), noted as € for all local transactions. For international reference: at an assumed rate of 1 EUR = 1.08 USD (2025), €100,000 equals approximately $108,000 USD.
Key Points About the Slovak Corporate Tax Regime
- Progressive Rates: Tax rates increase with taxable profits, potentially resulting in a higher overall tax burden as earnings rise.
- Surtaxes: Additional taxes are sector-specific and can meaningfully impact companies in banking, insurance, petroleum, and telecommunications.
- No Disclosed Holding Periods: There is no official information available on required holding periods for corporate taxation purposes in Slovakia at this time.
Pro Tips for Managing Corporate Tax in Slovakia
- Carefully assess if your company’s income will fall within the lower, middle, or top bracket to anticipate effective tax rates and plan expenditures accordingly.
- Review all sector-specific surtaxes; companies in financial services, insurance, telecom, and petroleum should model their additional tax liabilities with scrutiny.
- Consult with local accountants or advisers well-versed in Slovak tax law before major financial transactions to manage potential Financial Transaction Tax costs.
- Track updates on special sectoral tax rates, as some are set to decrease over time; integrating these changes into mid- and long-term planning can optimize after-tax profits.
Where to Find Official Slovak Tax Resources
For current legislation, updates, and additional information on corporate taxation, consult the official Slovak Ministry of Finance website: https://www.mfsr.sk/en/.
In summary, Slovakia uses a progressive corporate tax regime with rates from 10% to 24%, depending on annual profits, and applies additional sectoral taxes in industries such as finance, insurance, and energy. Companies should pay particular attention to the progressive structure and various surcharges to avoid unanticipated tax expenses. When planning for 2025 and beyond, monitoring regulatory changes and understanding how sector-specific levies apply to your business will remain essential.