Real estate transaction costs and taxes in Slovenia

Cost

No charge for online search. 

Land use certificate: EUR 22.70

Site plan information: EUR 22.70

VAT

Nil

Cost

Material costs

VAT

Nil

Cost

Uncertified excerpt available online: no charge

Certified excerpt: EUR 3.28 per excerpt

VAT

Nil

Cost

No charge for online search and for uncertified (online) excerpt
Certified excerpt:

EUR 3.28 per sheet.

VAT

22%

Cost

Negotiable

VAT

22%

Cost

Negotiable

VAT

22%

Cost

Taxed with VAT are:

• The supply of the building is performed before the building is first occupied or used or if the supply is performed prior to the expiration of the two-year period from the commencement of the first use or first occupation;
• Building land without any objects constructed on it;
• When parties to the sale (building/land) agree that the sale will be taxed with VAT (joint statement with the option to tax). According to the Slovenian legislation, parties can only apply the option to tax when the acquirer has the full right to deduct the input VAT.

VAT

22%

Cost

2% of the purchase price if VAT is not charged. Real estate transfer tax is payable by the seller of the immovable property. However, the parties may contractually agree on payment of the real estate transfer tax by the buyer

No transfer taxes on acquisition of shares in a company owning real estate.

Companies: No capital gains tax, but proceeds treated as income for resident companies, so profit is subject to corporate income tax, 19%. There is no withholding tax for non-resident companies. Private persons: personal income tax on capital gains exempt if disposal occurs after more than 20 years after acquisition or if the subject of disposal is real estate which is owned by the seller and in which the seller has a permanent residence and has actually lived there at least three years prior to disposal. In all other cases the capital gains on the disposal of the real estate itself are subject to personal income tax on profit achieved on sale. Income tax rate on capital gains is 27,5%; however income tax rate is reduced every five years of ownership of the real estate:

1. after completed five years of ownership: 20%
2. (ii) after completed ten years of ownership: 15%; and
3. (iii) after completed 15 years of ownership: 10%

Companies: A share deal is not subject to taxation in Slovenia (a nominal stamp duty may arise in respect of purchasing shares in a non-listed company, where the change of ownership must be registered in the Court Registry). Disposal of shares whereby a Slovenian company or permanent establishment of a non-resident achieves a capital gain is taxable at the general corporate income tax rate of 19%. Pending certain conditions, 63% of the capital gain achieved may be exempt.

Private persons: Disposal of shares in a company owning real estate whereby a capital gain is achieved is taxable at the personal income tax rate of 27,5%. Income tax rate is reduced every ve years of shareholding:

1. after completed fve years of shareholding: 20%,
2. after completed ten years of shareholding: 15% and
3. after completed 15 years of shareholding: 10%. Tax on capital gains is exempt if disposal occurs after more than 20 years after acquisition of shares.