- The Ministry of Finance of Slovakia announced a plan for a flat VAT deduction for business vehicles in November of the previous year.
- The plan will not affect businesses using vehicles exclusively for business purposes, allowing full VAT deduction.
- The Ministry aims to address misuse when vehicles are used for private purposes, noting cases of abuse.
- A new system will be introduced to ensure fairness, simplicity, and legal certainty, proposing a 50 percent VAT deduction.
- Similar systems are used in 11 EU countries.
- A survey showed 70 percent of business associations support the flat VAT deduction.
- The Ministry rejects political speculation and emphasizes the goal of fairer measures and improved tax collection.
- The proposal is still in the planning stage, with details to be discussed in a legislative proposal.
Source: mfsr.sk
Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.
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