Slovenia: 0.0274%/day for late payment and 3/5/7% for late declaration
According to the Tax Procedure Act, if the taxpayer pays the (declared or assessed) tax after the due date, interest on late payment will be charged at a daily rate of 0.0274%.
Where VAT was not declared at all late reporting interest apply, whereby the applicable rate depends on the circumstances:
- If underdeclared VAT is assessed by the Tax authority in a tax audit: 7%
- If the taxpayer self-declares within a tax audit procedure (i.e., agrees/accepts Tax authority’s findings): 5%
- If a taxpayer self-declares (i.e., voluntarily discloses) before any tax, offence or penalty procedure is initiated against him: 3%
Bosnia and Herzegovina: 0.04%/day
If you do not pay Value-Added Tax (VAT) on time, interest is charged on a daily basis from the date the payment is due until the outstanding amount is paid. Penalty interest rate is 0.04% per day. In addition to penalty interest, taxpayer will be charged a fee for enforcement VAT collection in the amount of 5% of the amount of VAT unpaid/paid with delay.
Croatia: 5.49 %/year
According to the Civil Obligations Act in Croatia, Chapter 1, Section 3, it is prescribed that the debtor in default, with a financial obligation, in addition to the principal, shall owe default interest as well.
Same section also prescribes that the default interest is determined on a semi-annual basis. It is calculated in a way that the average interest rate on loans granted to non-financial companies, for longer than one year, applicable for the 6-month period prior to the current 6-month period, is increased by 5 percentage points for relations arising from commercial contract and contract between a trader and a public law person, and 3 percentage points for any other relations.
Relations from a public obligation, such as tax obligations, are a part of other relations, meaning that the applicable default interest rate is calculated in a way that the average interest rate on loans granted to non-financial companies for longer than one year, applicable for 6-month period prior to the current 6-month period, is increased by 3 percentage points.
As mentioned above, the average interest rate on loans granted to non-financial companies for longer than one year, and with it the default interest rates, are determined 2 times a year as prescribed by the Civil Obligations Act, and it is published in January and in July in the National Gazette.
Last such publication was in January, for the first half of 2022, where the average interest rate on loans granted to non-financial companies for longer than one year was 2.49 %. That means that the default interest rate for any debt towards tax administration, including VAT liabilities, for the first half of 2022 is 5.49 %.
Serbia: 11%/year
According to the Tax Procedure and Tax Administration Act, this rate is increased by 10% every year by the National Bank of Serbia’s reference interest rate, which is 1%. This means that the overall rate is 11%.
Contribution by ATAXINTERNATIONAL
