We provide an overview of some of the changes to Slovak legislation that took effect on January 1, 2019.
Value added tax
From January 1, 2019, the reduced VAT rate of 10% will also apply to accommodation services.
There are also VAT-related changes in the following areas:
- the definition of ‘turnover’ for the VAT purposes;
- the transfer of tax liability in the case of the supply of agricultural crops and metal goods;
- the place of supply of telecommunications services, radio and television broadcasting services and electronic services in the case they are supplied by a non-taxable person;
- payment of a VAT security, and a tax exemption upon the handover of a (completed) building/construction.
Social and health insurance
There are changes in the level of minimum and maximum bases for the calculation of social and health insurance contributions.
The minimum wage increases from 480 EUR per month to 520 EUR per month. The hourly minimum wage increases from 2.759 EUR to 2.989 EUR.
There is also a change in the amount of a non-taxable allowance for a taxpayer and spouse, as well as a change in a tax bonus for children.