To offset initial capital investments and ease the start-up of business endeavours, the Government of Serbia offers financial support for Greenfield and Brownfield projects in manufacturing sector and services, which may be subject to international trade.
Regulation on Conditions and Methods of Attracting Direct Investment available HERE.
Regulation on Conditions and Methods of Attracting Direct Investments in the Food Manufacturing Business.
Construction Land Transfer Subsidy
Government or the local municipality can sell construction land at a price which is lower than the market price in support of an investment project that is of national importance (if the land is owned by the government), or an investment projects that promotes local economic development (if the land is owned by the local municipality).
Corporate Income Tax Relief
A 10-year Corporate Profit Tax Holiday is available for investors who hire more than 100 employees and invest more than 8.5 million euros (1 billion RSD). Tax holiday begins once the company starts making a profit.
Payroll Tax Incentives
Employment of people who were registered with the National Unemployment Agency for more than 6 months entitles employers to a sizable relief of taxes paid on net salary from the moment of employment until December 31, 2019:
- 1-9 new jobs: 65% reduction
- 10-99 new jobs: 70% reduction
- 100+ new jobs: 75% reduction
(payroll tax incentives can’t be combined with Financial Incentives)
Double Taxation Treaties
Serbia has 59 effective double taxation agreements in place that cover income, capital and property. In addition to having double taxation agreements in place with most European countries, Serbia has double taxation treaties in place with many countries in Asia and Africa.