Slovakia

Slovakia has exceptionally good conditions for establishing a company. It had a rather high development path in a short period of time. Since 2004 it has been a member of the European Union, so EU citizens can work in the country without any restrictions. They can enjoy the same rights as the Slovak citizens.

Despite of the fact, that it is not so far, it is very important to provide up-to-date information on daily supply and demand options. The most important is the definition of the goal of market expansion before than obtaining market information, as this essentially determines all further steps: increasing capacity utilization, capacity building, increasing profits, investing, production-outsourcing, taking into consideration the common use of EU resources or a combination of these.

Benefits of the Slovakian company establishment:

  • The Slovak tax system is much more transparent, the tax burden is lower.
  • The Slovak company is based on the fact that Slovakia is one of the most dynamically developing countries in the European Union.
  • There is a noticeable development in the Slovak economy
  • VAT is 20%
  • The corporate tax is 23% which is a positive thing while establishing a company in Slovakia
  • It is cheap to purchase and maintain a car, more costs can be described.
  • In case of a Slovak company, VAT can be recovered concerning a car
  • There is no local business tax in Slovakia
  • 4 hour employment is accepted
  • The share capital is 5 000 Euro in case of a Slovak company
  • For setting up a company /sro – LLC or a a.s. JSC/ one does not need to be a Slovak citizen, a Hungarian citizen may be the owner or the manager of the Slovakian company.

Entrepreneurs are obliged to keep bookkeeping in a statutory manner. However a double-entry bookkeeping should be done concerning the businesses that are registered at the Court of Registration.

The process of establishing a company:

  • Consultation - reconciliation of necessary details, contracting
  • Obtaining and formal translation of the moral certificate(s)
  • Preparation of the lease of the head office
  • The elaboration of the Deed of Foundation or the Company Agreement and their authentication by a notary
  • Authentication of signature specimen (2x)
  • Validation of the share capital statement (3x)
  • Entrepreneurship
  • Registration at the Court of Registry

However it is important to say a few words about the violation of the tax liability. A fine from 30 Euro to 32 000 Euro may be imposed by the authority for the breach of the tax liability. The taxpayer may appeal against the fines imposed on the inspections within 15 days. The tax liability begins with the date of entry into the register of companies, and it ceases on the date of deletion from the register of companies. The deadline for submitting the tax returns is the deadline for paying the tax.

According to the statistics agency (ŠÚSR), the Slovak economy grew in comparison with the previous three months and the rate of growth of the economy grew in the second quarter of 2017.