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Serbia (Serbian: Србија) officially the Republic of Serbia, is a landlocked country situated at the crossroads of Central and Southeast Europe in the southern Pannonian Plain and the central Balkans. It borders Hungary to the north, Romania to the northeast, Bulgaria to the southeast, North Macedonia to the south, Croatia and Bosnia and Herzegovina to the west, and Montenegro to the southwest. The country claims a border with Albania through the disputed territory of Kosovo. Serbia's population numbers approximately seven million. Its capital, Belgrade, ranks among the largest citiеs in southeastern Europe.
Serbia has an emerging market economy in upper-middle income range. According to the International Monetary Fund, Serbian nominal GDP in 2018 is officially estimated at $506.51B USD$ or $7,243 per capita while purchasing power parity GDP stood at $122.759B USD$ or $17,555 per capita. The economy is dominated by services which accounts for 67.9% of GDP, followed by industry with 26.1% of GDP, and agriculture at 6% of GDP.
Highlights
Residency Programs (1)
Cost of Life
Taxation overview
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Tax system
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Residence-based taxation
Countries with a residence-based taxation levy tax from your worldwide income for as long as you're a tax resident of that country. This is the most common taxation system.
Tax residence definition varies from country to country. General rule is you're a tax resident of a country if you spend 183 days or more in it in a year.
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Tax summary
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Personal income tax (PIT)
20%
Corporate income tax (CIT)
15%
Value-added tax (VAT)
20%
Social security contributions
- Pension and disability insurance: 11.5% paid by employer, 14% paid by employee
- Health insurance: 5.15% paid by employer, 5.15% paid by employee
- Unemployment insurance: 0.75% paid by employee
The maximum tax base for social security contributions is capped at five times the average monthly salary published by official statistics in Serbia at the moment of salary payment.
Withholding tax (WHT)
- Resident WHT rates: Not applicable on Dividends, Interests and Royalties
- Non-resident WHT rates: 20% on Dividends, Interests and Royalties
Capital gains tax (CGT)
- As Corporation: 15%
- As Individual: 15%
Net wealth/worth tax
Not taxable
Inheritance and Gift tax
Not provided
Controlled foreign companies (CFCs)
- Controlled by Corporation: No
- Controlled by Individual: No
Disclaimer: This tax summary is for information only and shall not be construed as tax advice. Every situation is different. Should you consider moving to Serbia, we highly recommend you liaise with a local tax advisor to confirm your future tax regime.
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Year of Assessment
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YA 2021