Thinking of contracting?
From early planning advice to emergency payroll for imminent work, Link Global Management can help you with your work arrangements.
Get in touch with one of our advisors now using the phone number at the top of the page, or use our online form and email services.
Payroll Services for
Employment status in Serbia
Thinking of contracting?
Link Global Management can provide a full range of payroll services in Serbia. The individual will be engaged on our payroll and income is paid in the form of salary, allowances and expenses, the proportion of each part depending on individual circumstances.
Salary, Tax & Social Security
Link Global Management deducts tax and social security at source on a PAYE basis, and payments are made to the relevant authorities on the employee's behalf. The taxable amount may be reduced by offsetting certain business expenses. There are different tax rates and bands according to earnings level and marital/family status.
Link Global Management will discuss your personal circumstances with you and help you to minimise your tax and social security liabilities, within the boundaries of Serbian legislation.
Income is managed tax efficiently, not just in Serbia but also in any other country where there may be a liability. A tax return is filed each year in Serbia with advice and assistance from Link Global Management who will also provide help with filing tax returns elsewhere, if required.
Income tax in Serbia
Residents are subject to tax in Serbia on their worldwide income. Nonresidents are subject to tax on Serbian -source income only.
Individuals are considered to be resident for tax purposes if they have a domicile, residence or center of business and life interests in Serbia or if they spend more than 183 days within a 12-month period, which begins or ends in the tax year (that is, the calendar year). In addition, Serbian individuals seconded abroad by a resident employer or an internationaI organization to operate in the name of the employer are also considered resident.
Progressive income tax rates of 10% and 15% apply to the income of individuals exceeding certain thresholds.
For Serbian tax resident individuals (both Serbian and foreign nationals), the 10% rate applies to annual worldwide net income from sources specified in the tax law exceeding three times the amount of the average annual salary per employee paid in Serbia in the year for which tax is assessed, but not exceeding nine times such average annuaI salary in total. A 15%rate applies to income exceeding nine times the average annual salary.
Individuals who are nonresidents for tax purposes are not subject to annual income tax.