CEE Tax & Payroll Newsletter 1/2022

Get a better overview of the most important changes in tax, labour and payroll legislation in the CEE region. We summarised the news from Albania, Austria, Croatia, Czech Republic, Hungary, Poland, Romania, Slovakia and Slovenia.

Through our updates, we highlight and share our views on the major changes that will impact the business models of our clients. Discover the most recent topics announced across Central and Eastern Europe that impact businesses on an international scale, such as:

Parliament Resolution: directions for development of EU VAT system - On 16, February, 2022, the European Parliament adopted the European Parliament Resolution on the implementation of the Sixth VAT Directive. Read more

New regulations: CIT, known as the anti-tax avoidance Directive III ("ATAD III") - Introduction of a "minimum substance test" for EU companies. Read more

Albania
->> New amendments to the law "On income tax" and changes in the instruction on the tax on the transfer of the right of ownership of immovable property.

Austria
->> The Ministry of Finance has published an overview of the planned tax reform 2022.

Croatia
->> Tax Authorities noticed misuses of tax benefits through the self-employment organisational forms (i.e. flat rate taxation).
->> Tax Authority has initiated an action aimed to identify hidden employment cases among increasing population of sole entrepreneurs.
->> Invitation to Croatian residents to voluntarily declare foreign receipts.

Czech Republic
->> Intrastat reporting will see considerable changes starting 1 January 2022 (page 4).
->> Overview of the most important changes in the Income Tax Act entered into force on 1 January 2022 (page 6).
->> Changes in application of the special scheme for travel agents starting 1 January 2022 (page 8).
->> Overview of the most important news from payroll and labour law legislation starting 2022.

Hungary
->> Summary for employers about the taxation of COVID-19 related benefits.
->> Amendment of the Civil Code effective as of 1 January 2022.
->> The main provisions concerning the "UBO" (Ultimate Beneficial Owner) register and its anticipated impacts.

Poland
->> Amendments to the Polish tax legislation entered into force in 2022 introduced systemic changes to taxation of employees working in Poland.
->> The Polish Deal introduced tax incentives for individuals to settle in Poland.
->> New National System of e-Invoices (KSeF) came into force on 1 January 2022. 
->> Starting 1 January 2022, VAT taxpayers have the option of creating a VAT Group in Poland.
->> Amendments to labour law and social insurance were introduced in 2022.

Romania
->> Amendments to the Fiscal Code and other legislative news, including 5% VAT reduced rate and electronic invoicing for non-resident companies. 
->> Updates on the Multilateral Convention to Implement Tax Treaty Related Measures to Prevent BEPS.
->> News on economic activities contributing substantially to climate change mitigation.
->> Changes on the preparation and submission of the annual financial statements and accounting reports in 2022.
->> Average gross salary in 2022 & Labour measures for COVID-19.

Slovakia
->> Overview of payroll changes, especially in the area of taxation, social and health insurance and labour law, effective as of 1 January 2022.
->> Catering of employees and self-employed persons from the tax perspective as from 1 January 2022.

Slovenia
->> Amendments to the tax legislation.
->> Amendment to the Rules on the recognized rate of interest.

​We hope that this overview will help you navigate more efficiently through the changes.