When does your company become a VAT payer?

When does your company become a VAT payer?

If you are thinking about expanding your business by opening a company in Slovenia, it would give you a good gateway to do business in Europe as well. A company registered in Slovenia does not have to just do business in Slovenia. It can be part of the European market and engage in business conduct in with other EU companies. Companies that engage in business in Slovenia, often ask when they become a VAT payer and what consequences it would have for them. We will be explaining the procedures of your Slovenian company becoming a VAT payer and in which case that is mandatory and when it is voluntarily.

Are you considering company registration in Slovenia?

Call us for more information to +386 1 6006 270 or write to us on data@data.si.


In Data d.o.o. we have experts that can assist you in every step of the way of your business conduct. Our legal team can explain to you the legislative grounds you have on becoming a VAT payer. We also provide accountancy services and make sure that all your reports are filed on time. Additionally, we provide tax consultation and services of virtual office.

When does your company become a VAT payer?

The Law on Value Added Tax states that the tax payer, which has surpassed the limit of 50.000 EUR of taxable income or is likely to surpass it, has to submit the application to obtain the identification number for VAT purposes. They have to do it no later than the month when it is likely that they will surpass the threshold.

But you can also enter the VAT system voluntarily. You would need to submit your application through the online portal eDavki. Should you enter the VAT system voluntarily, you would need to remain in the VAT system at least 60 months. Having a VAT number would enable your company to issue invoices to companies based in other EU countries.

What does it mean for a company to enter the VAT system?

If you register to become a VAT payer, you would have to calculate VAT at the prescribed rate. The standard VAT rate is 22% but for some goods and services there is also a different VAT rate. As a VAT payer, you are obliged to calculate VAT in a certain time period. After this time period passes, you would have to pay the calculated VAT to the government. From the calculated VAT, you can deduct the tax, which you paid for items that you need for business conduct.

In case that you expect not to surpass the 50.000€ taxable income threshold, you make your own decisions whether you would register to become a VAT payer. If your business conduct is mostly with private individuals and do not pass the 50.000€ threshold, entering the VAT system means that the price of your goods and services would increase according to the prescribed VAT rate.

If you require more information on company registration in Slovenia, EU, send us an e-mail to data@data.si. You can also contact us over the phone 00386 1 6006 270 or 00386 40 530 718 (Viber, WhatsApp). You can also follow us on Facebook.

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