This will be a new type of tax, with the first taxable period being April 2025. Taxpayers will include individual entrepreneurs, legal entities, and branches of foreign entities that are clients of a payment services provider which performs financial transactions.
Who should pay the FTT?
This tax will primarily be paid by payment service providers (i.e. banks) with a registered office or branch in Slovakia.
If a Slovak entrepreneur is a client of a payment service provider seated outside Slovakia and with no branch here, the obligation to declare and pay this tax will be the responsibility of the respective entrepreneur. This obligation could not be avoided even if the entrepreneur authorises another entity to perform the financial transaction.
Subject of taxation and tax rates
Financial transactions resulting in debiting the entrepreneur’s bank account with a specific amount
0.4% of funds withdrawn from the account, up to a maximum of €40 per financial transaction and 0.8%, when withdrawing funds in cash.
Use of a payment card issued to a business account.
€2 a year per payment card.
Charged expense related to the performance of a financial transaction that applies to the entrepreneur’s activities carried out in Slovakia.
0.4% of a charged expense.
Tax return and taxable period
The taxable period will be a calendar month. The deadline for filing a tax return and paying the tax will be the last day of the calendar month immediately following the taxable period. It will be possible to remit the tax for the first 3 taxable periods (April, May, and June 2025) by 31 July 2025. However, if a FTT payer collects the tax on or before 31 May 2025, it will be obliged to remit this tax to the tax administrator by the end of the calendar month immediately following the calendar month in which the tax was collected.
Obligation to keep records
In addition to filing tax returns, FTT payers will have to keep detailed records for individual taxable periods to the extent necessary to determine the tax correctly. The records will have to contain the following data: FTT payer’s identification data, identification of the entity paying the tax, taxpayer’s transaction account numbers, amount of the financial transaction, tax base, tax rate, tax charge, and the date on which the payment card was first used. FTT payers will be obliged to deliver this data electronically at the tax administrator’s request.
PwC solution
Simplify the processing of the financial transaction tax with our comprehensive outsourcing solution. Our tool will seamlessly integrate with the outputs of your existing systems, thus eliminating the time-consuming completion of templates.
Our team will analyse the processed data and monitor whether additional information is needed for the precise classification of financial transactions subject to tax. We will undertake the entire process, focusing on the accuracy and efficiency of data processing, from the moment information is received using the method you prefer up to filing in a tax return. The final output of our services includes detailed tax records, electronic tax return filing, and preparation of payment instructions. Our system solution eliminates manual adjustments, which significantly reduces the risk of errors, improves substitutability, and frees up internal resources.
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