Changes in Value Added Tax Rates in Slovakia

1. Recent legislative changes passed by the National Council of the Slovak Republic

The National Council of the Slovak Republic has recently approved significant changes to the Value Added Tax (VAT) rates, which will come into effect as of January 1, 2025. Here are the key updates:

2. Change to VAT Tax rates:

• Base VAT rate: The base VAT rate will increase from 20% to 23%.
• Lowest VAT rate: The lowest VAT rate will be reduced from 10% to 5%. This rate will apply especially to:
• basic food such as vegetables, fruits, meat, bread, milk, sweet water fish
• pharmaceuticals and medicine
• books
• restaurant and accommodation services
• entrance to sports events and fitness centers
• Third VAT rate: A new VAT rate of 19% will be introduced, applicable especially to:
• electricity
• food for human consumption not subject to lowest VAT rate
• water, including mineral waters and sweetened waters
• salt
• non-alcoholic drinks served in restaurants and bars

Simplified Invoice from Electronic Cash Register (e-kasa):

• The threshold for issuing a simplified invoice from an electronic cash register (e-kasa) will be lowered from EUR1,000 to EUR400.
• For purchases exceeding this value, a full invoice must be issued to the customer, including complete identification and the VAT number of the customer, as well as per unit price.

These changes are part of the government’s efforts to consolidate revenue in 2025.