As of 1 January 2017, the construction tax is eliminated.
Taxpayers that exclusively perform innovation and research and development (R&D) activities on scientific research and technological development and related activities are exempted from profit tax for the first ten years of activity.
The condition regarding the maximum revenues of a company for being considered a micro-enterprise has been changed, increasing the threshold to 500,000 euros (EUR). A new rule has been introduced regarding the classification of a company as a micro-enterprise for fiscal purposes. The tax rates used as of 2017 for micro-enterprise income tax have been changed as well.
Over 100 tariffs and non-tax charges have been eliminated.
As of January 2017, taxpayers requesting either a return to the calendar year or a change in the period of the amended fiscal year must take into account the following:
- If the amended fiscal year becomes the calendar fiscal year, the last fiscal year modified also includes the period between the day following the last day of the amended fiscal year and 31 December of the respective calendar year.
- If the period of the amended fiscal year changes, the first amended fiscal year also includes the period between the day following the last day of the amended fiscal year and the day preceding the first day of the new amended fiscal year.
Additionally, the applicability of the tax exemption incentive for reinvested profits and the right to use computer software has also been extended, together with the unlimited temporal application of this tax incentive.
At the same time, the list of deductible expenses for determining the fiscal result was completed, with the expenses for the organisation and carrying out of vocational and technical education, according to the legal regulations in the field of national education.
Value-added tax (VAT)
Starting 1 January 2017, the standard VAT rate has been reduced to 19%.