Starting a business in
🇷🇸Serbia
Checked November 4, 2026 · How we score
Corporate tax
15%
Top income tax
15%
Setup from
$700
all-in, first year
Time to form
5 days
can be done remotely
Taxes in Serbia
| Corporate income tax | 15% Flat 15% on taxable profit with no municipal surcharge. IP-box regime taxes qualifying IP income at an effective 3%. |
|---|---|
| Personal income tax (top) | 15% 10% flat tax on salary and most income, plus social contributions of roughly 35% on gross pay; an additional annual income tax of 10% above 3x and 15% above 6x the average annual salary applies to high earners. |
| Tax system | Worldwide income |
| Capital gains tax | 15%15% on capital gains from shares and property for individuals, with exemptions for long-held residential property. |
| Dividend withholding (non-residents) | 15% |
| VAT / GST | 20% |
| Social security | Combined employer and employee contributions are about 35% of gross salary; entrepreneurs on flat-rate (pausal) taxation pay a simplified monthly lump sum. |
Forming a company in Serbia
| Usual entity | d.o.o. (limited liability company) |
|---|---|
| Minimum capital | $1 |
| Setup cost (all-in) | $700–$2,500 |
| Annual running cost | $1,500–$5,000 |
| Time to incorporate | 5 days |
| Form remotely as a foreigner | Yes |
| Local director required | No |
| Local address required | Yes |
| Owners on public register | Yes |
| Statutory audit for small companies | No |
| Business banking for non-residents | Moderate |
Residency and visas
Company founders and managers can obtain a temporary residence permit; since 2023 remote workers can also apply for a stay permit of up to one year. Permanent residence takes five years of continuous temporary stay.
| Digital nomad visa | Temporary residence for remote workers (digital nomad) |
|---|---|
| Golden visa | No |
| Ease of residency for founders | 3/5 (1 = easiest) |
Special tax regimes
IP box
Qualifying income from copyrighted software and patents is taxed at an effective 3% corporate rate under the nexus approach.
Flat-rate (pausal) entrepreneur regime
Sole proprietors below a revenue ceiling pay a fixed monthly tax and contributions instead of keeping full books, which suits freelancers and IT contractors.
Digital Assets Law
A 2021 framework licenses crypto-asset service providers and gives clear rules for token issuers.
Pros and cons
Why founders pick Serbia
- Near-zero minimum capital and fast, low-cost registration
- Flat 15% corporate tax and 3% IP-box rate
- Strong IT talent base and startup ecosystem
- Foreigners can own 100% and be sole director
Watch out for
- 15% corporate plus 15% dividend tax gives about 28% combined
- High social contributions on salaries
- Global payment tools (Stripe, PayPal) work poorly locally
- Not an EU member; occasional regulatory unpredictability
Best for: IT and software teams using the IP box or flat-rate regime · Founders needing a low-cost remote EU-adjacent entity · Freelancers relocating to Belgrade or Novi Sad
Serbia: common questions
What is the corporate tax rate in Serbia?
Serbia charges a flat 15% corporate income tax on taxable profit with no municipal surcharge. Qualifying IP income can be taxed at an effective 3% under the IP box. Distributions to shareholders face an additional 15% dividend tax.
Can a foreigner open a company in Serbia remotely?
Yes. A foreign individual or company can register a d.o.o. through the Serbian Business Registers Agency, typically using a local lawyer with a power of attorney. A Serbian address is needed and the share capital can be as low as RSD 100, so many founders complete it in about five days.
What is the personal income tax in Serbia?
Salary income is taxed at a flat 10%, with social contributions of roughly 35% on top. Dividends and capital gains are taxed at 15%, and an extra annual income tax of 10% to 15% applies to very high earners.
Does Serbia have a digital nomad visa?
Serbia introduced temporary residence for remote workers in 2023, allowing foreigners employed or contracting abroad to stay up to a year. The exact income and documentation requirements are set by the Ministry of Interior, so check its latest guidance.
Sources
- Tax Administration of the Republic of Serbia
- Serbian Business Registers Agency (APR)
- PwC Worldwide Tax Summaries - Serbia
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Not tax or legal advice. Rates and rules change; we check official sources and update every page, but verify with a licensed adviser in the country before acting. Spotted something out of date? Use the correction form below.