New definition of Tax Residency is broader

The categories of tax residents will include not only persons with a registered permanent residence and those who stay in Slovakia for at least 183 days in a calendar year, but also persons deemed to have a residence in Slovakia. 

The broader definition will likely result in a change of tax residency status for individuals who spend extended periods of time abroad and have de-registered their permanent residence address in Slovakia, but who still have a residence available in Slovakia used not just for occasional purposes and their personal and economic ties to Slovakia are still strong.  As a result, such individuals may have the obligation to tax their income in Slovakia.

This change could affect mainly individuals who reside in countries with which Slovakia does not have any double tax treaty (e.g. Monaco).  Others may find that their newly-acquired Slovak tax resident status will cause a transfer of their tax residence to Slovakia under the rules set in the respective double tax treaty, as they did not have to apply the double tax treaty in past.

Please contact KPMG should you wish to determine your tax residency status.