Annual income tax

Annual income is the total value of income earned during a fiscal year. Non-taxable amount of citizen annual income tax for 2020. the year is 2,987.424,00 dinars and corresponds to the amount of three times the average annual income per employee paid in the Republic of Serbia in 2020.

income tax

The payer of the annual income tax is entitled to personal deductions, and that:

• for the taxpayer – 40% of the average annual income per employee, which amounts to 398,323,00 dinars,

• for a supported family member – 15% of the average annual salary per employee to an employee, per member, which is 149,371,00 dinars.

Tax rates are progressive: ¾ 10% for tax base up to six times the average annual salary in Serbia (for 2016 app. EUR 38,000), ¾ 15% for tax base exceeding six times the average annual salary.

The tax returns should be filed by the 15th of May for the income generated in the previous year.

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