New position paper: „Employee Share Plans Taxation in Croatia“
American Chamber of Commerce in Croatia adopted a new position paper „Employee Share Plans Taxation in Croatia“.
The aim of the position paper is to provide arguments for the introduction of changes to the Croatian Personal Income Tax Act with regards to taxation of Employee Share Plans.
In order to improve the current situation, AmCham proposes that share based receipts based on an employee’s participation in an Employee Share Plan should be treated as gross capital income taxable with the personal income tax rate of 12% plus city surtax and exempted from social security contributions.
The application of the provided recommendation would ensure equal and simple tax and social security treatment of all receipts realized from Employee Share Plans regardless whether these receipts are provided to employees or board members or if they are received from Croatia or abroad.
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Since 1998, AmCham Croatia represents business interests of American, international as well as Croatian companies. With 326 members, employing over 95.000 people, we are the voice of international business in Croatia. We are the first choice of international companies for policy advocacy in Croatia.
