Slovenia - Tax Guide for Freelance Contractors

Tax residents in Slovenia:         are liable to pay Slovenian tax on their worldwide,
Non tax residents in Slovenia:  are liable to pay tax on their Slovenian-source income only.

Individuals will be regarded as tax residents:

• if they have a formal residence tie with Slovenia,
• if they have an actual residence tie with Slovenia, (an habitual abode or centre of personal and economic interests), or
• if they are present for more than 183 days in a tax year.

Married persons are taxed separately.

Taxable income includes:

• income from employment (including salary, holiday bonus and fringe benefits),
• business income,
• income from basic agriculture and forestry,
• income from rents and royalties,
• income from capital,
• other income.

The taxable bases are different depending on the various sources of income, they are computed separately and then aggregated and taxed at progressive rates.

Certain deductions are permissible for 2011 including:

General allowances are available depending on the total income as follows:

• EUR 6’205.68 for income up to EUR 10’342.30,
• EUR 4’205.74 for income between EUR 10’342 and EUR 11’965.20,
• various personal allowances under certain conditions (dependents, disability),
• EUR 2’319.50 for the first dependent child or a dependent spouse (higher allowances are granted for every additional dependent child ranging from EUR 2’521.59 for second child, EUR 4’205.64 for third child, EUR 5’889.70 for fourth child, EUR 7’573.75 for fifth child). For any further born or dependent child the allowance is increased by EUR 2’319.50, taking into consideration the calculated allowance for the previous child.
• EUR 8’404.56 for a disabled child.
   

The basic allowance and the allowances for pensioners and for dependent family members are also available to residents of other EU Member States if they receive at least 90% of their annual income from Slovenian sources and file a tax return.

Income tax rates for 2011:

• 16% on income up to  EUR 7’634.40,
• 27% on income from EUR 7’634.40  to EUR 15'268.77,
• 41% on income exceeding EUR 15'268.77.

Usually, income tax is withheld by the employer from the gross salary paid to the employee as a pre-payment of the final income tax liability.

Filing date:

The Slovenian tax authorities issue a “tentative calculation of income tax” to most taxpayers by 31 May of the year following the tax year.  If a taxpayer does not receive a tentative calculation, he has to file a tax return by 30 June of the year following the tax year.