The lump-sum tax (Paušalni porez) in Serbia is a simplified taxation system for sole proprietors. Its main advantage is the payment of a predetermined, fixed amount of taxes and contributions without the need to keep detailed records of income and expenses. This makes this regime particularly popular among small business representatives, freelancers, and IT specialists.
For many professionals who have moved to Serbia and work with foreign clients, the first question is how to legalize their activities. There are two main paths: working under the special tax regime for freelancers or registering as a sole proprietor (SP).
For entrepreneurs in Serbia, especially those in the dynamic IT sector, the choice of a legal address is a crucial financial decision. The difference in tax liabilities when registering in a prestigious Belgrade district like Vračar versus the nearby city of Pančevo can be substantial.
Serbia's banking system has its nuances, which can be a source of frustration for foreigners, especially when starting a business. One of the most challenging topics is opening a business account for a sole proprietor (IP). Experience shows that Serbian banks' approaches to new clients with a temporary residence permit (VNZh) can vary drastically.
On January 7th, Christmas Day, the center of Subotica transformed into a true winter fairytale. The holiday market is underway, and everything is blanketed in fluffy snow, creating a magical atmosphere. Trees and market stalls are covered in white caps, with festive garlands hanging between them.
When moving to a new place of residence in Serbia, residence permit (boravak) holders are required to notify the Ministry of Internal Affairs (MUP). This process raises many questions, and it's important to know the answers in advance to avoid unpleasant situations.
Serbia has a large number of currency exchange offices, known as 'menjačnice'. When exchanging major world currencies, such as euros or dollars, for Serbian dinars, the exchange rate in most offices will be roughly the same, making the process convenient and predictable.
The environmental tax, or eco-tax (ekološka taksa), is a mandatory annual fee for the protection and improvement of the environment in Serbia. Its payment is not dependent on the chosen tax system, whether it's a lump-sum system or bookkeeping.
When moving to Serbia, the first and most important step is to obtain the 'White Card' (Beli karton) — a registration of your place of residence. This document is mandatory for all foreigners. Without it, you cannot register at a new address, which would require a 'visa run' (exiting and re-entering the country) to reset your stay period.