VAT OBLIGATIONS IN CROATIA
How is the tax period determined in Croatia?
Your company has to report its VAT position by filing periodical VAT returns on a monthly basis [standard tax period]. Quarterly reporting period is not possible for non-established taxpayers registered for VAT in Croatia.
When should periodical VAT return be filed?
Periodical VAT returns must be filed by electronic means via "ePorezna" to Croatian VAT authorities before the 20th day of the month [20 of N+1] following the accounting period [month] to which it relates.
The tax period shall be set by each Member State at one month, two months or three months. Member States may, however, set different tax periods provided those ones do not exceed one year. The VAT return shall be submitted by a deadline to be determined by Member States. That deadline may not be more than two months after the end of each tax period.
Is this requirement laid down in the country and what is the filing deadline?
As from 01/01/2015, filing annual VAT return is no longer required.
Member State may require taxable persons to submit a return in respect to all transactions carried out in the preceding year. That return shall provide all the information necessary for any adjustments.
Are quarterly filings allowed by the country and what is the filing deadline?
The recapitulative Statement [ESL ] must be drawn up for each calendar month. ESL should be filed by electronic means via "ePorenza" by the 20th day of the month after the end of the reporting period [month]. Filing the Statement on a quarterly basis is not possible.
The recapitulative statement shall be drawn up for each calendar month. However, Member States, in accordance with the conditions and limits which they may lay down, may allow taxable persons to submit the recapitulative statement on each calendar quarter where the total quarterly amount of intra-EU supplies of goods does not exceed either in respect of the quarter concerned or of any of the previous four quarters the sum of € 50.000 or its equivalent in national currency. The recapitulative statement shall be submitted within a period not exceeding one month.
What is the payment deadline?
The VAT due should be paid by the end [last working day] of the month following the accounting period. Your company should pay the difference in VAT according to the annual VAT return by the deadline for the submission of the annual VAT return [by the end of February of the following year].
Are interim payments required?
Interim payments are not required.
Any taxable person liable for the payment of the VAT must pay the net amount of the VAT when submitting the VAT return. Member States may, however, set a different date for payment of that amount. Member States may require interim payment to be made.
Is any VAT credit automatically carried forward or refunded?
Where, for a given period, the amount of deductions exceeds the amount of VAT due, the taxable person is entitled to a refund or to carry forward the excess of the VAT paid forward to the following accounting period. Where a taxable person applies for a refund of the excess of the VAT paid, the tax administration is obliged to refund the difference within 30 days from the date of submission of the VAT return but no later than within 90 from the day auditing procedure has been instituted.
Where, for a given tax period, the amount of deductions exceeds the amount of VAT due, the Member States may, in accordance with conditions which they shall determine, either make a refund or carry the excess forward to the following period. However, Member States may refuse to refund or carry forward if the amount of excess is insignificant.