Frequently asked questions relating to Slovak 2023 personal income tax returns

Do I have an obligation to file Slovak 2023 personal income tax return?

An individual earning 2023 income of EUR 2,461.41 and more is obliged to file a tax return. Income taxed by withholding tax, by which the tax liability is treated to be settled, does not count into this threshold (e.g. interest from Slovak bank account). Neither tax exempt income counts towards the threshold.

Taxpayers who report a tax loss are in fact obliged to file their tax return.

If a taxpayer earned only employment income from Slovak source, he/she may request their employer to perform an annual tax reconciliation for the employee. If the taxpayer meets the statutory deadline for filing of the application for annual tax reconciliation by 15 February 2024, he/she is not obliged to file Slovak personal income tax return.

Do not forget that the obligation to file personal income tax return exists also when earning an income, where a foreign withholding tax was imposed, e.g. dividends from abroad, ETF incomes, etc.

Can I file a tax return if I don’t have an obligation to file it?

Yes, you may file a tax return even if you are not obliged to.

Personal income tax return is beneficial to be filed e.g. in the following situations:

• If you earned only employment income not exceeding the threshold of EUR 2,461.41, this income was subject to monthly tax prepayment withholdings, but you did not apply for annual tax reconciliation – it is likely that a tax overpayment arises from the tax return.
• If you earned only employment income, so that you could apply for performing annual tax reconciliation, but you wish to apply for a child tax bonus and your tax base does not suffice for the full amount of child tax bonus.

What is the deadline for filing 2023 tax return and paying 2023 tax liability?

The deadline for filing 2023 personal income tax return is 2 April 2024 due to Easter holidays.

The same deadline is applicable for payment of outstanding tax liability (only exception is in the situation that the tax authorities have not announced your “unique bank account number” to you until the tax return filing deadline).

Can the deadline for tax return filing / tax liability settlement be extended?

If you need more time to process your tax return, the filing deadline can be extended. You have the following options:

• Extension by 1, 2 or 3 months – available for each taxpayer,
• Extension by 4, 5 or 6 months – available only for Slovak tax residents who earned income taxable abroad whereas he/she need to avoid double taxation of this income in their Slovak tax return.

Condition for extension of the deadline is filing of an announcement of deadline extension (using a prescribed form) to the tax administrator by 2 April 2024.

The deadline for settlement of the tax liability is extended automatically by extending the deadline for filing of the tax return.

Please note that the deadline which was already extended cannot be extended any further (late filing of the tax return will be subject to penalties).

What enclosures do I have to file with my tax return?

Your Slovak tax return should likely be filed with one or more of the following enclosures:

• Copy of the confirmation of employment income issued by your employer / employers.
• Copies of the birth certificates of your children / in certain cases also confirmation of school attendance of your children you apply a child tax bonus for. If the birth certificates were already filed with your previous years’ tax returns, this year you do not need to attach them.
• Copy of the confirmation of paid mortgage interest if you apply respective tax bonus.
• Copy of the confirmation of your volunteer activities of more than 40 hours in 2023, if you wish to donate 3% (instead of 2%) of your tax liability to chosen non-profit organization.
• Copy of the confirmation of paid individual’s contributions to supplementary pension savings plan if you apply respective non-taxable allowance.

How do I file the tax return?

If you are not obliged to communicate with the tax authorities electronically, you may file your tax return:

• Via mail service (we recommend using registered mail or mail with return message)
• Personally, at whichever tax authorities’ filing office
• Electronically – if you voluntarily agreed with the tax authorities on electronic communication (you have concluded an agreement on electronic communication with the authorities)

Individuals who are obliged to communicate electronically with the tax authorities need to file their tax returns electronically via tax authorities’ portal.

How do I donate 2% / 3% of my taxes to chosen non-profit organization?

If you file a tax return, the “announcement” on allocating of a share of your taxes is a part of the tax return form. Therefore, please note that when filing the tax return, deadline for allocating share of your taxes is the same as deadline for filing of the tax return (2 April 2024 or the extended deadline) and not the deadline, which is relevant for employees for whom their employer performed their annual tax reconciliation (30 April 2024).

The list of authorized non-profit organizations is available at www.notar.sk. Minimum amount of tax that can be allocated is EUR 3.

What are the most common mistakes when filing the tax returns?

• Slovak tax resident does not report his income earned abroad (e.g. interest from foreign bank account, dividends from abroad).
• Income from ETF’s usually does not meet the definition of “profit share”. Therefore, it is required to tax these differently.
• Income for work performed from foreign “home-office”, where the family of the taxpayer lives, is required to be taxed abroad.
• Income for work performed for foreign employer from “home-office” in Slovakia, where the family of the taxpayer lives, is required to be taxed in Slovakia.
• Taxpayers with rental income incorrectly apply deductible costs.
• Child tax bonus is applied by both parents.

Experiences of the Slovak tax authorities show that the taxpayers often make mistakes when filing their personal income tax returns. These can result into questioning the tax return by the tax authorities, or subject to financial sanctions. If you need help with preparation of your Slovak tax return, do not hesitate to contact us. We will perform a complex review of your situation, so that you avoid unnecessary complications.