Serbia Tax Card 2026 – Tax Authorities

1. Individuals

1.1 Personal Income Tax

Residents are subject to personal income tax on their worldwide
income. Non-residents are taxed on their Serbian-source income
only. Income tax is assessed in the year, in which the income is
earned on a current year basis.

1.1.2 Taxable Income

1.1.3 Exempt Income

Additionally, the following are the non-taxable amounts of
payments/benefits done by the employer:

• Daily allowance for business trips in the country – up to
  RSD 3.471 (approx. EUR 29) per day




• Daily allowance for business trips abroad – up to 90
  EUR.




• Business trip transportation cost – up to 10.121 RSD
  (approx. EUR 85) Public transportation cost for going to and coming
  from work – up to RSD 5.782 (approx. EUR 49)




• Compensation for use of own vehicle for a business trip –
  30% of the cost of 1L of gasoline per km of trip.




• Remuneration for accommodation and meal expenses on a business
  trip – must be justified by bills and is fully
  non-taxable.




• Severance pay at time of retirement – either prescribed
  by the Company Act or two-fold average monthly salary (Labor Law
  prescribed).




• Redundancy severance pay – 1/3 of salary for each year of
  employment with the employer making the payment.




• Compensation for expenses of burial of employee, his/ her
  spouse or child – RSD 101.194 (approx. EUR 857)




• Solidarity bonus – in case of the death of an employee or
  member of his family or of a company retiree – RSD 101.194
  (approx. EUR 857)




• Solidarity bonus in case of long or serious illness,
  rehabilitation, or disability – RSD 57.827 (approx. EUR 490)
  Solidarity bonus for the abatement of consequences of flood or
  other acts of god or in other extraordinary circumstances – Can be
  determined on a case-by-case basis and often depends on the extent
  of the actual damage and the decision of the authority providing
  the assistance.




• Anniversary reward – RSD 28.912 (approx. EUR 245)




• Loan for the purchase of heating material, school books, and
  winter supply of pickled vegetables and fruit preserves.




• Christmas gifts for children of employees up to 15 years of age
  14.457 (approx. EUR 122)




• Scholarships for pupils and students – up to RSD 44.325
  per month (approx. EUR 375)




• Additional health insurance and retirement plan premiums
  – RSD 8.677 (approx. EUR 73) per month

These are the valid amounts as of February 1st 2026 until
January 31st 2027.

1.1.4 Deductible Expenses

Expenses are non-deductible for personal income tax
purposes.

1.1.5 Allowances

Personal deduction for the purpose of the annual personal income
tax equal to 40% of the average annual salary is automatically
deducted. Additional allowance equal to 15% of the average annual
salary may be claimed for each dependent family member. The total
amount of the allowances may not exceed 50% of the aggregate
taxable income.

1.2 Social Security and Health Insurance
Contributions

Contribution rates are as follows:

1.3 Submission of Tax Returns

The deadline for the submission and payment of tax returns
varies depending on the income type and the income payer.

The deadline for submission of annual personal income tax
returns for income generated in 2025 is 15 May 2026.

Tax return is submitted electronically on the Tax
Authority’s portal and the instruction for payment is
automatically generated.

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The content of this article is intended to provide a general
guide to the subject matter. Specialist advice should be sought
about your specific circumstances.