Croatia is a stable well-developed economy. Both beginners and experienced businessmen want to register a company in Croatia for the following reasons, including:
- Good geographical location;
- The presence of 13 Free economic zones (fast registration the ability to reduce the tax rates legally, etc.);
- Favorable investment environment;
- The possibility of obtaining a residence permit in Croatia.
About the country:
The Republic of Croatia is a European country, a member of the European Union.
- Capital: Zagreb;
- Neighboring states: Slovenia, Hungary, Serbia, Bosnia and Herzegovina, Montenegro;
- Currency: Kuna (HRK).
- Developed economic sectors: manufacturing, tourism, engineering, pharmaceuticals, textiles, etc.
Tax rates for companies
The standard income tax rate for entrepreneurs who decide to register a Croatian company is 18%. Companies with income less than 3 million HRK are subject to 12%.
- VAT: 25%.
- WHT on interest payments: 12%.
- WHT on dividends: 12%.
- WHT on royalties: 24%.
FEZ tax rates
If an entrepreneur invests in the infrastructure of any Free economic zone, then he is exempt from paying taxes for a period of 5 years.
In all other cases (except retail trade), the entrepreneur pays a reduced rate of 10%.
The supply of goods to the FEZ exempts the company from paying VAT. If you are interested in setting up a company in FEZ of Croatia, then please ask for a qualified advice from professional YB Case team.
In order to set up a company in Croatia remotely, you will need to prepare the following documents:
- Copy of the beneficiary’s passport;
- The company name;
- Description of the company activity;
- Legal address;
- Notarized Memorandum.
- In addition, those who are planning to open a Croatian company must pay the state duty, obtain an EIN, submit the documents to insurance and social authorities and contribute the share capital of the company. The amount of the share capital depends on the legal form.
If you want to open a business in this jurisdiction, then you have the following opportunities:
- To register a LLC in Croatia (D.O.O.). Non-resident can be the sole founder. The minimum share capital is 2850 euros.
- To register a JSC in Croatia (D.D.). The number of shareholders: minimum 1. Number of directors: minimum 1. The share capital is 25,000 euros.
- To set up a Branch office in Croatia (P.O.). Every foreign investor can open a branch office in this country. For more details you can request for an advisor from YB Case experts.
In order to register a Croatian company remotely and open a corporate account in Croatia, please ask for an appointment with our experts.