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Croatia Extends Tax Liability to Shareholders in Certain Cases and Other Administrative Changes

07 January 2025

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Approved Changes

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Croatia

The Croatian parliament has approved amendments to the General Tax Act. The main amendments include the following: It is provided that company shareholders can be held liable for unpaid taxes if a company fails to submit monthly or annual tax returns; Mandatory electronic filing of tax returns is extended to various taxpayer categories, including all legal entities, regardless of size, as well as self-employed individuals, individuals renting property for tourism, and crew members of ships in international navigation; and The time limit for initiating tax audits is extended to 6 years in cases involving cross-border activities and suspected bribery. The...