What brings the amendment to the Slovak VAT Act?

As of 15 November 2021, an amendment to the Slovak VAT Act became effective bringing new obligation for Slovak VAT payers to announce to the Financial Directorate by 30 November 2021 all own bank accounts kept by providers of payment services in Slovakia as well as abroad (to be) used for the economic activity in Slovakia. Non-fulfilment of this obligation will be subject to penalties.

According to the recent interpretation presented by the Ministry of Finance as well as the Financial Directorate, announcement of bank account kept by providers of payment services in Slovakia or abroad owned by any other party is voluntary. Provided such bank account will be announced, it will be treated the same way as the own one whereas the owner of the bank account will be jointly liable to VAT from goods or services supplied as stated in the invoice should the supplier not pay this VAT (or its part) within the deadline and the consideration for this supply (or its part) will be paid to this bank account.

The form to be used for this announcement was already published and the Tax Authorities are currently sending to the VAT payers an information on the bank account registered in their systems.

As of 1 January 2022, the announced bank account will be used by the Tax Authorities i.a. for refund of the excessive deduction and the list of these bank accounts will be published on the website of the Financial Directorate. Furthermore, the joint liability to VAT by the customer will be extended and will also apply should the consideration for the supply (or its part) be paid to another bank account than the bank account of the supplier published in the list of bank accounts as of the payment date. The joint VAT liability may be avoided provided the customer will pay the VAT stated in the invoice for the supply of the goods and services within Slovakia to the individual bank account number of the supplier kept by the Tax Authorities.

Please contact us should you need more information on how these changes will affect your VAT position in Slovakia.