VAT in Serbia vs Croatia: A Practical Comparison for Businesses

Key Differences in VAT Rates and Registration: Serbia has a standard VAT rate of 20% with reduced rates of 10% for basic goods and a registration threshold of approximately €68,300, while Croatia has a higher standard VAT rate of 25% with multiple reduced rates and a lower registration threshold of €60,000.
Filing and Submission Processes: In Serbia, VAT returns are filed monthly or quarterly with a submission deadline on the 15th of the month via the PU RS ePorezi portal. In contrast, Croatia requires filing through the ePorezna portal with a deadline on the 20th of the month, reflecting the more complex compliance landscape due to EU alignment.
Import and Export Treatment: Serbia’s VAT on imports is paid during customs clearance and can be reclaimed by VAT-registered businesses, with exports zero-rated under specific conditions. Croatia follows EU customs rules, allowing VAT on imports to be reclaimed, with exports also zero-rated and intra-EU supplies requiring valid VAT numbers for compliance.