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Author: Vaic

Vaic Law Office > Articles posted by Vaic (Page 3)

Taxation of net profit payments to legal and natural persons, residents of the Republic of Germany

The realized net profit that the company established in the Republic of Croatia realizes by performing activities/services and decides to pay to the members of the company / founder is taxable by corporate tax after withholding (for legal persons) or the income tax from the capital (for natural persons).Members of the company who are tax residents of the Republic of Croatia, are fully subject to domestic tax legislation, while the situation is more complex for legal and natural persons who are not residents of the Republic of Croatia, because in these cases the provisions of the International contract for the...

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A brief overview of the tax system of the Republic of Croatia

LEGAL PERSONS Profit tax A company and other legal entity resident in the Republic of Croatia that performs economic activity independently, permanently and for the purpose of making profit or income or other economically assessable benefits is liable to pay profit tax, and the taxpayer is the domestic business unit of a foreign entrepreneur (non-resident). Profit is determined according to accounting regulations as the difference between income and expenses before the calculation of profit tax, increasedand decreased according to the provisions of the Law on Profit Tax. The tax base of a resident taxpayer consists of the profit realized in the country...

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