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Flat-Tax in Europe

Triumphal Campaign of Flat Tax in new EU Countries

Flat Tax after January 2008

Flat Tax in Europe after January 2008
Bulgaria10 %
Macedonia10 %
Russia13 %
The Czech Republic15 % (real 23%)
Romania16 %
Slovakia19 %
Estonia21 %
Lithuania24 %

Whatever and anyhow happens…

.... After January 2008 the top positions of flat tax rate „rallye“ are occupied by two new countries. Bulgaria and The Czech Republic determined the flat tax rate for all income groups (flat tax rate, flat tax).

Especially marvellous is the encroachment of Bulgaria to accept the 10 per cent flat tax. Thereby it will compete, together with Macedonia, for investors thanks to the lowest tax rate in Europe.

On the other side, the Czech Republic introduces at the beginning of the year the flat 15-per-cent tax. However, as the calculation also includes the shares of employers (parts of contributions for social security), the real income tax rate lies at the level around 23 per cent!

Outside Europe the flat tax is introduced only in Hongkong!

With SLC-Europe into the Flat Tax Zone

SLC-Europe is the only company, which in the whole Flat Tax Zone provides services of own offices and whereupon you can receive the best advice regarding the strengths and weaknesses in individual countries. Just as attractive as the words flat tax can sound for somebody, so great can be a danger not to know the terms as e.g. "Recognition of claims abroad", "circumvention" and many others.

SLC-Europe, together with its team consisting of tax consultants and attorneys, will satisfy your entire requirements in German language, or also with native-speaker in place. Contact SLC-Europe and recognize the difference still at the first discussion.

Information on Company Formation

Further information on company formation in the zone of flat tax

Bulgaria 10 %
Czech Republic 15 % (real value 23%)
Romania 16 %
Slovakia 19 %
Lithuania 24 %

Advisory Hotline: To save on taxes with flat tax rate

Hotline Germany
030 896 779 394

Hotline Austria:
0720 880 256

Comparison of the highest Tax Rates in Europe

The highest tax rates in Europe
State Tax Rate
Denmark59,0 %
Sweden56,5 %
Belgium53,5 %
Netherlands52,0 %
Finland50,7 %
Austria50,0 %
Slovenia50,0 %
France48,0 %
Germany47,5 %
Italy44,2 %
Spain43,0 %
Ireland41,0 %
Greece40,0 %
The Great Britain40,0 %
Portugal40,0 %
Poland40,0 %
Luxembourg39,0 %
Hungary36,0 %
Malta35,0 %
Cyprus30,0 %
Latvia25,0 % FLAT
Lithuania24,0 % FLAT
Estonia21,0 % FLAT
Slovakia19,0 % FLAT
Romania 16,0 % FLAT
The Czech Republic15,0 % FLAT
Bulgaria10,0 % FLAT

Directives for the Parent and Daughter Company

In case of many companies in Germany and Austria the change in business place does not work so much.

Herein we would like to recommend you to form the Slovak limited partnership, i.e. Ltd. & Co L.P. as the holding company.

A small difference that also admits the tax allowance is that according to the Slovak legislative the limited partnership is deemed as the capital company, however according to the German or Austrian legislative it is deemed as the personal company.

This qualification difference can lead to the considerable tax allowances, when e.g. the Slovak Ltd. & CoKG becomes a mother of an Austrian / German Ltd. company.

The profit distribution of the Austrian Ltd. company, upon the EU Directives is tax-free for the mother and the daughter company and the drawing on profits of the holding limited partnership by partners principally is not a reason for payment the profit tax.

Fascinating result: the trade tax remains (e.g. Austria with 25 per cent, however totally you will evade to pay the capital gains tax in case of drawing the gains.

The Tax Offices accept such a procedure, unless they are fictional companies.

More detailed info to the topics “recognition of claims abroad” you will find at: Relocation of company abroad from the tax view (The minimum requirements for a company)

Slovakia - Marvellous Chance

Information Manual for Download

The Slovak Ltd. can act as the general or the “domestic solution” (for Germany or Austria) so that the topmost advantageous limitation of liability is to be reached.. We recommend this alternative especially for Startups and for the companies of individual person in general. Our advisory professional praxis shows very often that the limited liability is considered only when it is definitely too late.

The Slovak Ltd. can be interesting also for those businessmen speculating on saving of taxes or the expenditures pursuant to relocation of production operations abroad.

Slovakia belongs to the European Flat-Tax-Zone/flat tax zone (an unique tax for all income groups), provides on the basis of qualification conflict in the area of the Slovak limited partnership previously an unique advantage in favour of the tax payer and thus it becomes a clear favourite in this field.

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+421 2 33 00 6510

+49 30 896 779 394

+43 720 880 256

+359 2 491 7055

+34 971 57 99 65

24 Hours Hotlines and German speaking agents are available!

Great Britain:

24 Hours Hotlines with English speaking agents

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