Tax News - October 2023

Changes to tax legislation and recent case law

i. Income tax

Case law – Claiming special tax relief for dependent family members for residents of EU or EEA Member States (VRRS Judgment X Ips 21/2022)

In this case, the Supreme Court ruled that a tax resident of another EU Member State who, by virtue of employment in Slovenia, generates at least 90 per cent of the total taxable income in a tax year is entitled to claim a relief for a dependent family member in Slovenia. According to the principle of the primacy of EU law, the provision of Article 116 of the Income Tax Act (ITA-2) cannot be applied in the present case because it infringes Article 45 of the Treaty on the Functioning of the EU (TFEU) and leads to impermissible discrimination on the basis of tax residence. The restriction in the article in question on exemption from taxation or non-taxation in the country of residence would only be permissible if the resident had already been granted such a tax relief in Italy, so that it would (effectively) affect the amount of his tax liability there, which was not the case in the present case. The plaintiff had earned all his taxable income in Slovenia but was de facto in a worse position with regard to the possibility of claiming the relief for dependent family members (proportionately higher taxation and the provisions of the Double Taxation Treaty (DTT) between Italy and Slovenia, under which Italy does not refund tax overpaid in Slovenia), compared with both, Slovene and Italian residents. In accordance with its case-law, the Supreme Court decided that the plaintiff should have been granted a relief for dependent family members in the income tax return by Slovenia (country of employment), since Italy (country of residence) was unable to grant it due to low taxable income. In the new procedure, the Financial Administration of the Republic of Slovenia cannot apply restriction laid down in Article 116 of ITA-2 and must allow the taxpayer to benefit from the special tax relief provided for in Article 114 of the same Act when assessing income tax. The restriction would be allowed only if the relief had already been considered in Italy, so that the amount of the plaintiff's tax liability there was in fact affected.

Thus, based on the Supreme Court ruling, Slovene Tax Authority (TA) must allow tax non-residents of Slovenia who are also tax residents of another EU Member State to claim special tax relief for dependent family members as per Article 114 of ITA-2, provided that the following conditions are met:

1. the taxpayer receives at least 90 per cent of the income on which income tax has been paid from the Member State of employment and does not receive high income in the Member State of residence, so that that the latter is unable to grant him, for the purposes of the assessment of income tax, the benefits arising from his personal and family situation; and
2. the taxpayer has not already been granted such tax credit in another EU Member State in a way that (effectively) affects the amount of his tax liability.

ii. Salaries

From 1 July 2023 information for calculating salary compensations are on SPOT portal

On 1 July 2023, a new e-procedure was introduced on the SPOT portal, through which employers registered in the Slovenian Business Register (AJPES) can obtain information from TA for the purposes of preparing and calculating salary compensation during the temporary absence of an employee from work due to health reasons. The new service thus simplifies the process of obtaining data for the calculation of the salary compensation base.

The employer can obtain data for calculation of the compensation paid by employer and the data for the calculation of the salary compensation charged to the Health Insurance Institute of Slovenia (ZZZS). For the calculation of the salary compensation charged to Health Insurance Institute, the data on the bases can be obtained for the period from 1 January 2022 onwards and from 1 March 2023 onwards for the calculation of the salary compensation charged to the employer.

The employer can only access the data using a sicknote (e-sicknote) issued and linked to the individual employee. The new procedure can be accessed by the legal representative of the company/business. If the legal representative does not have a digital certificate or does not carry out the procedures for verifying the amount of the base, access to the procedure and the data may be arranged to a particular person by means of a power of attorney.

The application for the authorization shall be submitted either through written form published on the SPOT portal on 21 June 2023 or electronically via SPOT portal.

iii. VAT

Summary of planned changes to VAT rules for the digital age

At the European level, new proposals to change the EU VAT system in response to accelerating digitization have been made. They include various measures to modernize the VAT system and make it more resilient to fraud, as well as address VAT challenges of operating through online platforms (platform economy).

The proposed "VAT in the digital age" package covers three areas of change:

• The introduction of standardized Digital Reporting Requirements (DDR) across the EU in electronic form and the introduction of e-invoices for intra-community (cross-border) supplies.
• Addressing the challenges of doing business through online platforms in short-term accommodation and transport providers' services by introducing the so-called "deemed supplier" model, where platform will be responsible for collecting and paying VAT to the tax authorities, and not the service provider (e.g. Airbnb will have to pay VAT if the accommodation provider on the platform is not subject to VAT)
• Extending scope of the One Stop Shop (OSS) and the use of reverse charge for B2B transactions for online sellers.

The proposals also include some changes for platforms that play an intermediary role in the sale of goods in the EU:

• Mandatory use of the “Import One Stop Shop” scheme when a platform performs sale of goods from outside the EU (third countries) to EU consumers.
• For VAT purposes, the platform is deemed supplier when the seller's goods are transferred from one Member State to another (for storage purposes) before being sold to EU consumers.

The package of new proposals is materialized in amendments to three EU legislative acts: the VAT Directive (2006/112/EC), the Council Implementing Regulation (EU 282/2011) and the Council Regulation on administrative cooperation (EU 904/2010).

Case law – Deduction of VAT in case of a fictious transaction (Case C-114/22)

In Case C-114/22, the Court of Justice of EU (CJEU), referring to previous case law, reiterated its ruling that national legislation must not deny a taxable person the right to deduct VAT, as the principles of neutrality and proportionality of taxation must be obeyed in the VAT system. A taxable person may not be denied the right to deduct VAT solely on the grounds that an economic transaction is deemed to be fictitious or void under the provisions of national law. To withdraw the right to deduct VAT, it must be shown that the transaction can be characterized as fictious in the light of EU law. However, if the transaction is not fictious and has been carried out, it must be shown that it arises from VAT fraud or from an abuse of rights.

Case law – Penalty in case of underpayment of VAT (Case C-418/22)

In Case C-418/22, the CJEU ruled, with regard to the principles of fiscal neutrality and proportionality, that Article 273 of the VAT Directive must be interpreted as not precluding national legislation, under which failure to comply with the obligation to declare and pay VAT to the state Treasury is punished with a flat-rate fine of 20 per cent of the amount of VAT which would have been due before deduction of the deductible VAT (the amount of the VAT charged), provided that the national court carries out a review of the proportionality of the fine imposed in the main proceedings.

Case law – Refusal of the right to deduct VAT where the taxable person uses a general term on the invoice to describe the supply of services (Case C-690/22)

In Case C-690/22, the CJEU ruled that Articles 178(a), 219 and 226 of the VAT Directive must be interpreted as precluding a national TA from refusing a right to deduct VAT on the ground that a taxable person's invoices with general terms such as "application development services" do not comply with the formal requirements of the Directive. The CJEU found that the national TA had incorrectly concluded that the transactions in the case in question were simulated and, consequently, the invoices were false.

Case law – Pause of the limitation period for VAT assessment in case of audit procedures (Case C-615/21)

In Case C-615/21, the CJEU ruled that the principles of legal certainty and effectiveness of EU law do not preclude Hungarian national legislation and the related Hungarian administrative practice, under which in VAT field the period, during which the TA`s right to assess VAT is time-barred, is suspended for the entire duration of judicial reviews, irrespective of the number of times the administrative tax procedure had to be repeated following those reviews, and without any limit on the total duration of the interruptions of that time-limit, even where the court ruling on the decision of the TA concerned, taken in the repeated procedure on the basis of a previous judicial decision, finds that that TA has not complied with the guidelines laid down in that judicial decision. The CJEU provided reasons for its decision by emphasizing the fact that national procedural rules must be such as to ensure that, in practice, they do not make it impossible or excessively difficult for taxable persons to exercise the rights conferred on them by the EU acquis. However, the CJEU found that the mere interruption of the time-limit does not in any way prevent the taxpayer from exercising his rights. On the contrary, the purpose of that suspension is to enable that taxpayer to effectively exercise the rights which he has under EU law, while preserving the rights of the TA.

Case law – Taxation of spa service when the payment is a tourist tax (Case C-344/22)

In Case C-344/22, the CJEU held that the VAT Directive must be interpreted as meaning that the provision of spa facilities by a municipality does not constitute the “supply of services in return for payment”, within the meaning of that provision, if municipality, pursuant to the municipality statute, levies a tourist tax on visitors staying in the municipality, at a certain amount per day of stay, where the obligation to pay the tourist tax is not linked to the use of those facilities, but to stay in the territory of  municipality, and where the facilities are freely and free of charge accessible to everyone. The CJEU reaches that conclusion because a service is to be regarded as “provided in return for payment”, within the meaning of the VAT Directive, only when there is a legal relationship between the provider and the recipient in the context of which reciprocal benefits are exchanged and the payment received by the provider of the service being the real equivalent of a service which can be individualized. In the present case, however, there is no legal relationship between the municipality collecting the tourist tax and the visitors to the spa facilities since there is no direct link. Namely, the tax is also payable by visitors to the municipality who do not use the spa facilities, while, on the other hand, the spa facilities may also be used by day visitors who do not pay the tax.

iv. Corporate income tax

Amendment to Corporate Income Tax Act

The Ministry of Finance has recently drafted amendments to the Corporate Income Tax Act (CITA-2) that further restrict business between related companies. New rules will also be stricter in limiting the tax deductibility of interest and other costs on loans between related parties.

Below listed are some of the changes envisaged in the proposed amendments to CITA-2.

Changes in tax treatment of interest recognition

• A proposed Article 54c to CITA-2 to regulate the rule limiting the recognition of interest for tax purposes (the so-called EBITDA rule). It concerns the limitation of interest for tax purposes for loans between related companies within a group.
• The Article would provide that the excess borrowing costs, in the period in which they are incurred, would be recognized as an income for related taxpayer up to higher of:
  • 30 per cent of the taxpayer's earnings before interest, taxes, depreciation and amortization ("EBITDA"); or
  • EUR 1 million.
• In this context a related person is:
  • A person in which the taxpayer directly or indirectly holds 25 per cent or more of the voting rights or ownership of the capital or is entitled to receive 25 per cent or more of the profits of that person.
  • An individual or person who directly or indirectly holds 25 per cent or more of the voting rights or ownership of the capital of the taxable person or is entitled to receive 25 per cent or more of the profits of the taxable person.

Changes to the definition of the business unit

• It is envisaged to amend Articles 6, 7 and 8 of the current Act and relates to the regulation of the law as to what is considered a permanent establishment or when a place of business is not a permanent establishment.
• Under CITA-2, a construction site, a construction, assembly or installation project, or supervision in connection therewith is considered a non-resident's permanent establishment if the activity or transactions last longer than 12 months. The Amendment proposes to reduce the time period from 12 months to 6 months.
• Article 7 of CITA-2 determines when the place of business of a non-resident is not to be considered as a permanent establishment. An amendment is supposed to limit the application of exceptions to determine permanent establishment to activities which are of preparatory or ancillary nature. The purpose of the amendments is to prevent abuse.
• The amendments to Article 8 of the Act relate to the definition of source of income, which is an institute used to identify the place or country in which a certain income has its source. It is linked to the amendment of the OECD Model Tax Convention, which introduced an additional condition regarding determination of the value of a share from immovable property at any time during a certain period prior to the disposal of the share, and not only at the time of the disposal of the share.

Proposal for the Minimum Tax Act

On 23 June 2023, the Slovene Government published a proposal for a Minimum Tax Act (MTA). Minimum Tax Act implements Council Directive (EU) 2022/2523 of 14 December 2022 on the provision of a global minimum tax rate for multinational enterprise groups and large domestic groups in the Union (hereinafter: "Directive").

The purpose of the Directive is to establish a common framework for a global minimum tax rate in the EU, based on a common approach from Pillar 2 of the OECD Model Rules, in such a way that the income of multinational enterprise groups and large domestic groups with a total turnover of EUR 750 million and above ("Groups") will be taxed at a rate of at least 15 per cent. This will be implemented through a so-called top-up tax (an additional tax calculated on a jurisdiction or entity basis). The top-up tax liability is provided for as an option in the Directive - Slovenia will have to notify the European Commission of its choice.

The main objectives of the Minimum Tax Rate (MTR) are:

• Setting up a system against tax base erosion,
• Fair, transparent, and stable business taxation,
• Eliminating excessive tax competition and preventing aggressive tax planning,
• Consistency in the determination and administration of base erosion (predictability, no double or excessive taxation)

The main solutions of the MTA can be highlighted as follows:

• An MTR of 15 per cent is introduced. It will apply to constituent entities established in countries where the effective tax rate (ETR) is lower than the MTR. The ETR will be determined for each financial year and for each country separately by dividing the adjusted covered taxes of the constituent entities in each country by their net qualifying income. The difference between the MTR and the ETR is the so-called top-up tax rate. The top-up tax will raise the ETR of the group to the level of the MTR and will be applied to the excess profits according to a standardized base and a special tax calculation mechanism.
• The Directive sets out five steps for groups:
  • Identification of constituent entities, part of a multinational, within the scope of the Directive, excluded entities and identification of safe harbors,
  • The calculation of qualifying income or loss for each identified constituent entity with adjustments to the financial accounting net income or loss,
  • Calculation of adjusted covered taxes,
  • Calculation of the ETR in each country (for all constituent entities in the country) - if the ETR is lower than the MTR, also the calculation of the top-up tax,
  • Paying the top-up tax accordingly.
• The MTA provides and exclusion for groups with an average turnover of less than EUR 10 million and an average qualifying income or loss in the jurisdiction of less than EUR 1 million under “de minimis” principle. Such groups will not be subject to the top-up tax even if the ETR in that country is lower than the MTR.

The accompanying text to the proposed MTA shows that globally, around EUR 220 billion of higher annual tax revenues are expected as a consequence of the implementation of the minimum tax rules. In Slovenia, based on country-by-country reporting ("CbCr) data, a total of 412 groups with a parent company in Slovenia and a ETR below 15 per cent (average ETR was 8.72 per cent) have been identified in 2019. It is estimated that a total of 184 groups will be affected by the MTA and the total annual tax liability of companies that are part of these groups and resident in Slovenia amounts to around EUR 27 million.

According to the Directive's deadline, the MTA must be adopted by the end of 2023 at the latest and should apply to financial years starting from 31 December 2023.

Slovenia and Switzerland signed protocol amending the Double Taxation Treaty

The signed Protocol transposes the content of the Multilateral Convention on the Implementation of Measures to Prevent Base Erosion and Profit Shifting ("BEPS") into the Double Taxation Treaty regarding income and wealth tax between the Government of the Republic of Slovenia and the Federal Council of the Swiss Confederation. This will achieve the minimum standards developed in the framework of the Organization for Economic Co-operation and Development (hereinafter: OECD) and the G20 group measures:

• In Article 23(2) governing the elimination of double taxation, a new subparagraph (d) will be added: 'The provisions of subparagraph (a) of the second paragraph shall not apply to income derived by a resident of Switzerland or to property owned by him, when Slovenia, by applying the provisions of this Convention, classifies such income or property from tax as exempt, or applies to such income the second paragraph of Article 10, the second paragraph of Article 11 or the second paragraph of Article 12.
• A new Article 27A is added, which states that a benefit under the Convention in respect of part of the income or property shall not be recognized, if it may be inferred that the acquisition of that benefit was one of the main purposes of the arrangement or transaction.

Case law – Proof of a business event (VSRS Judgment X Ips 18/2022)

In the case in review, the dispute concerned the manner of proving and recognizing expenses for the purposes of determining the profits of a legal person as a tax base.

The factual situation was that in the year between 2011 and 2013, the plaintiff was charged by related company for consultancy services amounting to EUR 4 million on the basis of two contracts concluded. Under the contracts, the plaintiff was to receive commercial and business expertise in the specific areas of business and financial management, taxes, controlling, IT, law and other areas. However, the plaintiff had employees in all those areas at that time and did also not submit information on the individual types of services provided, their value and their actual performance. The payment for these services was treated as a tax-deductible expense in the plaintiff's financial statements, which were prepared in accordance with International Accounting Standards (IAS) rather than Slovenian Accounting Standards (SAS).

Subsequently, in the tax inspection procedure, the TA additionally taxed the plaintiff for years 2011-2013 on the basis that the plaintiff had failed to prove that the disputed services (representation and consultancy) were economically justified and necessary for him - they would not have been contracted to an unrelated person, which means that they were not provided in accordance with the arm's length principle.

The plaintiff, after unsuccessful appeals at higher levels, sent an application to the Supreme Court  to allow an audit, which can be summarized by arguing that the auditor would only be allowed to assess an additional amount of CIT if the defendant found that the plaintiff's tax return misstated the tax base (as a consequence of overstated expenses) due to the incorrect application of the accounting standards (in this case IAS) which it applies while preparing its financial statements.

The Supreme Court dismissed the application to allow an audit saying that documents complying with accounting standards are not the exclusive basis for taxation and that it is also important an actual transaction takes place. Therefore, the fact that the auditor did not apply the SAS, but the IAS, means only that the attached documents were not sufficient evidence to confirm the occurrence of an individual event and the related costs, and that the plaintiff should have submitted other evidence to that effect.

v. Intervention measures to deal with consequences of floods

Act Determining Intervention Measures for Recovery from the Floods and Landslides of August 2023

Act Determining Intervention Measures for Recovery from the Floods and Landslides of August 2023 adopted by the National Assembly on 31 August 2023, introduces a compulsory solidarity contribution for natural and legal persons as one of the sources of funding for the damage caused. Employees will pay 0.3 per cent of their income tax plus certain other income, while companies will contribute 0.8 per cent of their CIT base.

This is a temporary contribution, which will be, according to the law, valid for two years and active for the first time in 2024 and for the second time in 2025. However, people with the lower income are exempt from paying the solidarity contribution. The threshold for this exemption is set at 35 per cent of the average wage in Slovenia.

The Ministry of Finance has calculated that around EUR 81 million solidarity contributions should be collected per year from remaining natural and legal persons conducting activities and who are part of the annual income tax assessment. The calculation assumes that none of the taxpayers would have opted for a solidarity Saturday.

In addition, around EUR 4 million is expected to flow into the reconstruction fund from natural persons with activities for which no income tax assessment decision has been issued, and around EUR 71 million from legal persons. The average amount for legal persons would be around EUR 886 per taxable person, the Ministry of Finance added.

As an alternative to paying the solidarity contribution, the intervention law provides for the possibility of organizing two solidarity Saturdays, one this year and one next year, with the agreement of the employee and the employer. For this day, according to the law, both workers and employers give up their earnings - the worker his net salary and the employer contributes an equal amount. In addition, any other day may also be counted as a solidarity working Saturday.

Act Amending the Natural Disaster Recovery Act

On 9 August 2023, the National Assembly adopted the Act Amending the Natural Disaster Recovery Act under urgent procedure, which entered into force on 11 August 2023. The Amendment introduces, inter alia:

• A one-off solidarity payment made by an employer to a worker in 2023 for considerable damage caused by the floods in August 2023 is not taxable as employment income up to EUR 10,000. Previously, solidarity payments of up to EUR 2,000 were not taxable.
• In addition to the general tax relief for donations to humanitarian organizations, which can be claimed by companies and individuals conducting an activity, an additional tax relief is introduced for donations to repair damage caused by a natural disaster. The additional relief will be granted as a reduction of the tax base of the tax period by the total amount of payment made for the purpose of repairing the damage in August 2023, paid into a special account of the Republic of Slovenia set-up for this purpose. The tax relief will be granted up to the maximum amount of the tax base of the tax period and will apply to the amount of all payments made up to 31 December 2023.
• Employers who are temporarily unable to provide work to workers because of the floods are entitled to partial reimbursement of salary compensation for workers on a temporary layoff. The amount of the reimbursement is 80 per cent of the salary compensation, but not more than the average salary for the month of May 2023 in the Republic of Slovenia.

The amendment also provides that from 3 August 2023, an employer that has received assistance under this Act, may not pay out profits, make purchases of its own shares, pay management bonuses or part of performance-related salaries to management in 2023 or for the year 2023.

Favorable tax treatment for destroyed equipment

Companies and sole traders, whose equipment, for which the investment relief has already been claimed, was purchased less than three years ago and was destroyed by floods in August 2023, do not have to increase their tax base in the amount of claimed tax relief during the period of destruction, regardless of provisions in Article 55a(6) of CITA-2 or Article 66a(6) of Personal Income Tax Act. The measure is intended for companies and sole traders who determine the tax base based on actual income and actual expenditure.

Floods & VAT

Goods destroyed as a consequence of higher force, which also includes floods, are not subject to VAT. Fixed assets, destroyed in floods before the end of the period for correction of VAT deduction, are no longer subject to VAT, and the original deduction does not need to be corrected. Taxable persons do not have to correct the deduction also in cases when materials were destroyed.

It should be noted that a donation of goods that are part of taxpayer's existing business assets is subject to VAT, if the taxable person has deducted input VAT for his assets. The same applies if the donated goods are manufactured by the taxable person itself from raw materials, for which the input VAT was deducted. However, if the taxable person purchases the goods with a purpose of a further donation, he cannot deduct VAT, but he is also not required to charge it on the donation of the goods. If taxable persons from other EU Member State or third country make a donation or perform services free of charge, it should be checked whether they are liable to charge VAT under their domestic tax laws.

Under the Act Determining Intervention Measures for Recovery from the Floods and Landslides of August 2023, from 2 September 2023, a special reduced VAT rate of 5 per cent applies to supplies of fire-fighting vehicles, special protective and rescue equipment, and tools for the performance of fire-fighting duties, normally intended for use in interventions. The same applies to imports of such goods.

FURS: Reclaiming excise duty in case of destruction of excise goods in floods in August 2023

Excise duty can be, under certain conditions, refunded on excise goods that have already been released for use (excise duty has already been paid on them) and have been destroyed in floods.

The Excise Duty Act (Official Gazette of the Republic of Slovenia, no 47/2016, 58/2020, 92/2021, 192/2021 and 140/2022, hereinafter referred to as "EDA-1") provides in Article 19(1)(6) and Article 19(1)(7) that the right refund of excise duty paid shall be vested in:

• Traders who have purchased excise products at a price inclusive of excise duty and withdrew them from the market because they have become inedible or unusable and they have been destroyed under the control of the TA.
• Producers of excise products outside a suspension arrangement for the produced excise products in stock, for which excise duty has been paid, but they have become inedible or unusable and they have been destroyed under the control of the TA.

In view of the fact that destruction under supervision of TA is not feasible in the current circumstances, the above conditions are deemed to be met if the business premises of the beneficiary, where the excise goods were located between 4 and 6 August 2023, are located in a flooded area, or the premises were damaged as a result of floods during that time period.

Beneficiary can prove the quantity of destroyed excise goods by means of the stock balance in the accounts and submit a claim by the last day of the current month for the previous month in which the reason for refund arose. This means that, in current circumstances, a monthly claim for excise duty paid should have already been submitted by the end of September 2023. However, the beneficiary may also claim a refund of excise duty in an annual claim, which must be submitted by 30 June of the current year for the previous year. The reason for the refund shall be 'Destruction of excise goods in the floods between 4 and 6 August 2023'.

vi. Other changes

Amendment to the Companies Act (CA–1L)

The amendment to the Companies Act (hereinafter: CA-1L) allows the use of tools throughout the life cycle of a company, it amends the cross-border merger regime and re-defines the procedure for cross-border transformation and division of companies.

Limited liability companies, joint stock companies, limited liability partnerships and branches of foreign companies may be established electronically using online digital tools, while single-person limited liability companies may also be established directly through the SPOT portal. Referring to the Notariat Act, the amendment allows for the remote drafting of a company agreement in the form of a notarial deed for the establishment procedure.

CA-1L also amends the system of interconnection of business registers, which allows the registration authorities to exchange even more information and documents. As a result, companies will only be able to submit information once. In pursuit of greater mobility, the amendment also introduces the possibility of holding electronic or virtual general meetings without the physical presence of shareholders.

Amendment to the Register of Companies Act (RCA-H)

Amendment to the Register of Companies Act (hereinafter: RCA-H) procedurally regulates all the above-mentioned novelties, which are substantively introduced by the amendment to CA-1L. The Court Register will record certain latest information on companies and persons involved in them, including information on the foreign branches of our companies, which will be obtained by the Court Register through the system of interconnection of business registers.

All natural persons will now be required to identify themselves with a tax number (previously this was only necessary for foreign natural persons, while those with a permanent or temporary residence in Slovenia were identified with a unique identifier “EMŠO”) and provide their date of birth. For the management functions, the system will also allow to check whether the person is prohibited from performing such function in other EU Member States and, consequently, to refuse to register them as director of the company.

Countries will be able to exchange information on the opening and closing of the winding-up procedure of a branch, notifications of registration, closing down of a branch and changes to the company documents.

International standards for automatic exchange of information

On 8 June 2023, the OECD published the Crypto-Asset Reporting Framework (CARF) and an update of the Common Reporting Standard (CRS) for 2023 which required from all individuals and entities that provide services to execute the relevant transaction as a business for clients, or on their behalf make available a trading platform, to report all transactions involving crypto assets to the TA.

The above-mentioned framework and the amendments to the CRS represent an upgrade of the automatic exchange of information system, which will now also cover information on crypto assets, for which there is no uniform regulation or it does not exist at all.

New list of countries at risk of money laundering or financing terrorism

At the beginning of August, the list of countries at risk of money laundering or financing terrorism was updated. Nigeria and South Africa were added to the high-risk list, while Cambodia and Morocco were removed.

The list of countries can be accessed through link Preprečevanje pranja denarja | GOV.SI.

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