Non-taxable receipts will increase up to HRK 7,500

At the Government session, Minister of finance Zdravko Marić presented tax changes for 2019. From December 1st 2018, according to a new provision, the non-taxable part for Christmas, recourse and other bonuses and compensations will be increased from HRK 2,500 to HRK 7,500.

More than four fifths of employees in Croatia are receiving net salary of up to HRK 7,500. This year’s increase of the non-taxable part of such “awards” is five thousand kuna, and about 40 percent of employees in Croatia receive the net salary to this amount.

Minister Marić said that their suggestion was to correct the total amount of non-taxable annual receipts. These were usually Christmas bonuses, Easter bonuses and recourse. He said they expanded not only the amount but also the scope.

Source: Government of the Republic of Croatia