Croatia

Croatia

Introduces a windfall tax on high profits

23 Dec 2022

On 22 December 2022, the Croatian Government adopted the Corporate Windfall Tax Act that introduced for all companies with a revenue of over HRK 300,000,000.00 (approximately 40 million EUR) in 2022 a windfall tax additional to the CIT. Any profit higher than 20 per cent of the average taxable profits generated in the four fiscal years 2018-21 would be taxed at a rate of 33 per cent. The act entered into force on 23 December 2022.

Nature of measure:
  • Treatment and operation
Type:
  • Treatment and operation (Other)
Industry:
  • Not industry specific
Inward FDI:
No
Outward FDI:
No
Sources: