Slovakia: Amendment to VAT law approved

Amendment to VAT law that would introduce a temporary decrease of VAT rate approved

Amendment to VAT law that would introduce a temporary decrease of VAT rate approved

The National Council of the Slovak Republic approved an amendment to the value added tax (VAT) law that would introduce a temporary decrease of the VAT rate (from 20% to 10%) as of 31 March 2023 for:

  • Transportation of passengers by cable cars and ski lifts
  • Entrance to sports facilities for sporting purposes and to artificial swimming pools
  • Restaurant and catering services

The amendment also would introduce, effective 31 January 2023:

  • Obligation of the VAT payers to correct input VAT deducted from the goods and services purchased in Slovakia provided they are (partially) overdue with the payment for more than 100 days
  • Changes in correction of tax base upon total or partial non-payment of consideration for supply of goods or services and in related obligation to correct input VAT deducted
  • Cancellation of the VAT registration obligation (and introduction of the VAT deregistration possibility) of established entities provided they exceeded the registration turnover solely from specific VAT exempt supplies (insurance and financial services and supply and rent of immovable property)

The amendment also would impose a new reporting obligation of providers of payment services effective 1 January 2024.

Read a December 2022 report prepared by the KPMG member firm in Slovakia


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