Pursuant to Article 33a of the Personal Income Tax Act, personal remuneration is that amount of money which an entrepreneur pays and records in the official books of account as his\/her own personal salary plus the corresponding tax and contributions associated with salary.<\/p>\n
Any entrepreneur who opts to pay personal remuneration during 2021 must send in a written notice to their local tax office announcing their decision no later than 15th December, 2020.<\/p>\n
Decision made for any given year cannot be changed during the tax period, i.e. during the course of the year 2021.<\/p>\n
Let’s say an entrepreneur has been paying personal remuneration in 2020, but wants to stop in 2021. Such an entrepreneur is required to notify the Tax Authority in advance of its intention by sending a notice by 15th December, 2020.<\/p>\n
So, in short: whenever an entrepreneur wishes to maintain the status quo and continue paying personal remuneration, (s)he doesn’t need to do anything; but, if (s)he intends to discontinue his\/her payments of personal remuneration, they are obliged to inform the Tax Authority thereof in a special form of notice.<\/p>\n
Recently a bill amending the Personal Income Tax Act has been placed before the Parliament for its consideration. If enacted, the bill will allow entrepreneurs to submit such notifications electronically through the E-porezi portal.<\/p>\n
This new provision is scheduled to apply from 1st January, 2021.<\/p>\n","protected":false},"excerpt":{"rendered":"