Taxes in North Macedonia
The primary laws governing and regulating the tax system of the country are:
- Personal income tax,
- Social insurance,
- Value-added tax,
- Profit tax.
Personal income tax and social insurance contributions deal directly with an individual’s income and obligation, whereas the other two deal with companies and corporations/businesses etc.
We excel in providing support in all the mentioned categories efficiently and effectively. From preparation to submission, we ensure transparency, lucidity, and satisfaction.
Tax solutions in North Macedonia
Whether you are an individual having a stable income, or run a business you will at some point need a tax advisor to file in your tax details into the system. That’s due to the ever-changing tax regulations and laws.
Partnering with us will ensure that your taxes are submitted in a timely fashion and in the manner required and desired by the authorities.
Tax optimization
We plan and execute your taxation in a way that you reap the maximum benefit from your tax liabilities in near and far ahead in the future. Employing the industry best practices and utilizing the industry tested techniques we ensure that every single penny you pay in taxes brings in benefits for your business.
Tax consultation
From the basic tax paper work to optimization we provide on and offline consultation and advisory to all our clients. Negotiating and dealing with the authorities and government officials on behest of our clients, is just a fringe benefit for our clients!
VAT registration
Our seasoned experts will guide you to apply for exactly the VAT that works most beneficently for your business.
Bookkeeping
The diversity of tax and account regulations makes it tricky for the inhouse department to stay on top of the game.
With our solution at hand, you have access to a unit of proactive and expert accountants that will help you navigate through the labyrinthine of accounting procedures.
Applying for tax return
The new Personal Income Tax (PIT) law mandates that all tax returns be filed online through the official portal instead of physical submission. The law also obligates individuals to report taxable income and pay PIT in advance.
Similarly, employers are obligated to withhold and pay tax on behalf of the employees at source, before disbursing taxable income.
These and many other minute details are not only important but play a pivotal role in tax optimization. Time and again our clients endorse that an inhouse team is just not the right approach. Partnering with an expert and renowned tax firm like us is the best way to ease the burden.
Register as a taxpayer
The tax registration number also works as a person’s unique financial identifier. It is important to know what category of taxpayers one falls into prior to applying for the tax number.
An experienced tax consultant would know what category your core business or income source falls into and this can surely lead to tax optimization.
System of taxes and fees in North Macedonia
Generally speaking, 10% rate is applied to all incomes within EUR 17250 per annum. Beyond this threshold the rate is increased to 18%. Additionally, a flat tax of 15% is applied on capital gains.
The tax system includes earned and unearned incomes both, whether earned in the country or from abroad. As such, income from property and property rights, personal income, capital gain, income from lottery or any other game of chance, etc. are all considered as taxable income.
Corporate income tax
All residents and non-residents for tax purposes are subject to pay the Corporate Income Tax (CIT) in North Macedonia for income generated through an established office. The prevailing rate of CIT is 10% of the profit made in the year in question.
Profit is determined as per the applicable accounting standards and further adjusted for the non-deductible expenses incurred in the same year.
Capital gain tax
In its simplest definition, capital is anything owned by an individual that is not part of the operation but is the foundation of a person’s investment or income. Hence, capital gain is all such income earned by the sale of capital. Property (real estate), intellectual property (rights and patents), investment, etc. all fall under this definition.
In North Macedonia, tax on capital gains is applied at 10% rate on 70% of the gains.
Personal income tax
Personal income tax is paid on the income earned during a fiscal year by a legal person in personal capacity. The prevailing rate of PIT in North Macedonia is 10% for income up to EUR 17250. For income exceeding this slab the rate changes to 18%.
Corporate income tax
The Personal Income Tax (PIT) is applied at 10% on all incomes within the threshold of EUR 17250 per annum. Income exceeding this threshold are subject to 18% PIT annually.
From | To | % |
EUR 0 | 17,250 | 10 |
EUR 17, 251 | Any income above 17, 251 | 18% |
Request bookkeeping solution
Whether its simple bookkeeping services you require or advanced accounting solutions, we are characterized as the country’s top few firms in this regard.
Bookkeeping
The Company Law of North Macedonia obligates all businesses to maintain and submit detailed accounts of their business periodically. Our guidance and advice will ensure that the right data is fed to the system and thus reap maximum benefits
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