1. Individuals
1.1 Personal Income Tax
Personal income is divided in two categories and taxed
accordingly:
Annual Income: income from employment,
independent profession and any other income that is considered as
annual.
Final income: income from property and property
rights, capital and insurance and other income considered as
final.
1.1.1 Residency
An individual is resident when having a permanent residence in
Croatia or when having a place of abode for more than 183 days in
one or two tax years. Residents pay tax on their worldwide income.
Non-residents pay tax only on Croatia source income.
1.1.2 Tax Rates
The rates of income tax depend on the source of the income and
the county of residency and are taxed with lower rates ranging from
17% to 23,6% and higher rates ranging from 27% to 35,4%.
