The announced changes to the tax laws in Serbia bring significantly less favorable tax treatment for hiring freelancers instead of employees FR

The announced changes to the tax laws in Serbia bring significantly less favorable tax treatment for hiring freelancers instead of employees FR

A hot topic in both the tax and IT industries in Serbia is the announcement that the amendments to the Personal Income Tax Act will be adopted. Amendments to the law will change the tax treatment of hiring entrepreneurs instead of employees - this will be considered to be income outside of employment, which is less favorable. For employers who hire qualified new employees (including entrepreneurs who were not employed during 2019), tax incentives will be introduced for a transitional period of three years (starting from 1 January 2020).