Firms can transfer VAT tax duty

SINCE the beginning of 2016, the duty to pay value-added tax (VAT) is transferred from contractors to customers of construction works.

(Source: Sme)

The process of transferring VAT is voluntary and it is up to the entrepreneurs to decide whether to utilise the possibility in their supplier-customer relations. It is implemented only if supplier and customer are VAT payers in Slovakia, spokeswoman of the Financial Administration Patrícia Macíková told the TASR newswire in mid-January.

“Generally, the entity obliged to pay VAT is its payer who supplies goods or services in this country,” she explained. “In the regime of transferring VAT, this duty shifts to the VAT payer who gets the goods delivered or to whom services are rendered. Thus, this is an exception from the general rule.”

If a businessman introduces it, Macíková added, this means that the recipient of performed work pays the tax related to the delivery of construction works, including the delivery of a building or its part if these fall under section F of the statistical qualification of an activity’s products (CPA).

Get daily Slovak news directly to your inbox

Theme: Finances and Advisory

Read more articles by the topic

Top stories

News digest: Who will take the swabs?

The government offers hundreds of euros to health care staff for testing. Curfew ends on Saturday for some. Take a look at testing sites and more.

PM Igor Matovič helped with testing in Tvrdošín.

People with negative tests can go to hairdresser or outdoor terraces

Those with a negative test result will have to follow rules introduced on October 15.

Companies fear drop in demand for their products and services the most

International chambers of commerce asked companies about their current situation as well as expectations.

Companies implemented anti-coronavirus measures.

The big testing: When and where to show up, and what if I don't want to? (FAQ)

Here is what we know about the practicalities of the nationwide testing so far. Testing also applies to foreigners and diplomats in Slovakia.

Pilot testing in Bardejov