1. Company and other legal and natural persons that are residents of the Republic of Croatia and perform their economic activity independently, permanently, and in order to gain profit, income, or revenue, or other business relevant benefits,

  2. Domestic permanent establishment of a foreign entrepreneur (non-r​esident),

  3. Natural persons who determine their income in the manner prescribed for self-employment activities pursuant to the regulations on income taxation or who are starting to perform a self-employment activity or if they declare that they will pay profit tax instead of income tax

  4. Natural persons referred to in item 3 if they generated a total receipt greater than EUR 995.421,06 (HRK 7,500,000.00) in the previous taxation period

  5. By way of derogation, state administration bodies, regional self-government authorities, local self-government authorities, Croatian National bank, state institutions, institutions of units of regional self-government, institutions of units of local self-government, state institutes, religious communities, political parties, trade unions, chambers, associations, artistic associations, voluntary firemen associations, technical culture associations, tourist boards, sport clubs, sport societies and associations, trust funds and foundations, if performing economic activity, whose non-taxation would result in gaining of unjustified privileges on the market, are deemed taxpayers for that activity.

  6. Every entrepreneur or his legal successor who is not an entrepreneur listed in items 1 to 5, and who is not an income tax taxpayer pursuant to the regulations on income taxation and whose profit is not taxed elsewhere.


Domestic payer who pays interest, dividends, profit shares, royalties and other intellectual property rights (reproduction rights, patents, licenses, copyrighted marks, designs or models, manufacturing procedure, production formulas, sketch, plan, industrial or scientific experience, and other similar rights) to foreign persons that are not natural persons, and who pays market research services, tax and business counselling, and auditing services to foreign persons.​



Profit that is assessed according to accounting regulations as the difference between revenue and expenditures before the calculation of profit tax, increased and reduced according to the provisions of Profit Tax Act.


Gross amount of the fee that the domestic payer (or foreign payer for performances of foreign performers) pays to the non-resident – foreign recipient.



  • 10% if, during the taxation period, revenue has been generated up to EUR 995.421,06 (HRK 7,500,000.00​), or

  • 18% if, during the taxation period, revenue has been generated greater than EUR 995.421,06  (​HRK 7,500,000.00)​.

  • 15% except for dividends and shares in profit for which the withholding tax is paid at a rate of 10%,

  • 20 % on all services and all types of remunerations that are subject to taxation pursuant to this article when paid to persons having their head office or place of effective management, or supervision of business, in the countries placed on the EU list of non-cooperative jurisdictions for tax purposes, with which the Republic of Croatia has no double taxation treaties applicable,

  • 10% for performances of foreign performers.


Profit Tax Act, Official Gazette 177/04, 90/05, 57/06, 146/08, 80/10, 22/12, 148/13, 143/14, 50/16, 115/16, 106/18, ​121/19, 32/20, 138/20, 114/22 ​

Ordinance on Profit Tax, Official Gazette 95/05, 133/07, 156/08, 146/09, 123/10, 61/12, 146/12, 160/13, 12/14, 157/14, 137/15, 1/17, 2/18, 1/19, ​1/20