Annual income tax of individuals for the year 2022 - non-taxable amount 3,719,376 dinars

The non-taxable amount of the annual income of individuals liable for the annual personal income tax for the year 2022 is equal to three times the amount of the average annual salary per employee in the Republic of Serbia paid in the year for which the tax is determined and amounts to 3,719,376 dinars (3 x 1,239,792 dinars). The average annual salary in 2022 was published in the "Official Gazette of RS" no. 15/23.

Annual income tax for 2022 is paid on taxable income at the rate of:

1. 10% - for the amount of taxable income up to six times the average annual salary - up to 7,438,752 dinars (6 x 1,239,792 dinars), and
1. 15% - on the difference between the amount that is greater than 7,438,752 dinars (6 x 1,239,792 dinars) and that amount.

The amounts of personal deductions for 2022 are:

- for the taxpayer - 495,917 dinars (40% of 1,239,792 dinars);

- for a dependent family member per member - 185,969 dinars (15% of 1,239,792 dinars).

Additional reduction of income for taxation for taxpayers under 40 years of age is equal to three times the average annual salary per employee in the Republic and amounts to 3,719,376 dinars (3 x 1,239,792 dinars).

The deadline for submitting the tax return for the annual personal income tax based on income earned in 2022 is May 15, 2023.

The latest amendments to the Law on Personal Income Tax from December 2022 stipulate that the annual personal income tax is paid by self-taxation on the income earned in the calendar year, instead of by the decision of the competent tax authority. The tax is paid no later than the deadline for submitting the tax return, i.e. by May 15.

We remind you that a new procedure for submitting the tax return for the annual personal income tax has been prescribed, as follows:

- based on data from official records, the tax authority enters data into the tax return for the annual personal income tax and uploads it to the Tax Administration portal no later than April 1 of the year following the year for which the annual personal income tax is determined;

- the taxpayer has the obligation to amend or supplement the tax return submitted in this way by the tax authority, in the part where correct and appropriate data are not shown, and then submit the tax return in electronic form via the Tax Administration portal;

- if the taxpayer does not submit a tax return by May 15 at the latest, the Tax Administration submits a tax return for that person.

Deloitte / BPS