Reminder regarding the payment of personal wages for soe traders and agricultural sole traders

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03. 12. 2024.

We would like to remind taxpayers, sole traders, and agricultural sole traders that the deadline for submitting a notification of the decision to pay personal wages, or the cessation of payment of personal wages starting from January 1, 2025, expires on December 16 of the current year.

The notification is submitted electronically, via the Tax Administration's ePorezi portal.

Sole traders and agricultural sole traders, in accordance with the provisions of the Personal Income Tax Law, can opt for the payment of personal earnings, which represents the amount of money that the taxpayer pays to himself and records in the business books as his monthly income, including the related obligations based on those earnings.

Please note that the notification of the decision to pay personal income tax is not submitted every year. After submitting the notification once, the taxpayer continues to pay personal income tax until the notification of the termination of its payment is submitted.

Those planning to start their activities as sole traders or agricultural sole traders shall submit a notification of their decision to pay personal income when registering with the competent organization that maintains the register of business entities. That organization shall then forward the notification to the Tax Administration. If registration is not carried out with an organization that maintains the register of business entities, the notification shall be submitted electronically via the Tax Administration portal, within five days from the date of registration with the Tax Administration, i.e. from the date of obtaining the tax identification number, and no later than December 31 of the current year.