Because freelancers are not Solar Staff's employees and we don't pay taxes on their payouts, they must declare any income received via Solar Staff by themselves.
To carry on tax accounting in the Republic of Slovenia for your Solar Staff income, you need to:
Be a tax resident
Follow the applicable tax obligations
Tax residence
Slovenia taxes its residents on their worldwide income, while non-residents are taxed on their Slovenian-source income only.
An individual, regardless of their nationality, is considered a resident in Slovenia for tax purposes if they have an actual or formal residential tie with Slovenia:
A permanent place of residence/registration in Slovenia.
They are a Slovenian public employee employed abroad.
They have a habitual abode or center of personal and economic interests in Slovenia.
They are present in Slovenia for more than 183 days in a taxable year.
Slovenia has double taxation treaties with a number of countries (full list), the provisions of which may override the applicable tax residence rules and other provisions of national legislation.
Tax ID number and PIN
Tax identification number (davčna številka) is a unique identifier that is assigned to taxpayers for the purposes of taxation. It consists of 8 digits, with the first 7 digits being random, and the 8th serving as a check digit. The tax legislation provides for additional letters or numbers being added to the tax ID number (for example, a VAT identification number is a tax number with the SI prefix). Such extended numbers are also subject to provisions regarding the use of the tax number. You can obtain a tax number by submitting Form DR-02 online or on paper (filled-out sample).
Personal identification number (PIN) or single registration number (enotna matična številka občana / EMŠO) serves to identify both residents of Slovenia and foreign nationals. This number consists of 13 digits (digits 1 to 7: date of birth; digits 8 and 9: registry number; digits 10 to 12: sequence number, or a combination of the biological sex and sequence number for persons born on the same day; 13: check digit) and is indicated on the ID card (osebna izkaznica).
Taxes and contributions payable by freelancers
Tax liabilities depend on the chosen tax status and/or eligibility for certain criteria. Slovenia has two tax status options for Solar Staff users to choose from:
Individual (prebivalci)
Sole proprietor (samostojni podjetnik)
IMPORTANT! Solar Staff does not have the option to choose a tax status for freelancers based in Slovenia, but you can fill in your tax ID in your account.
In Slovenia, both individuals and sole proprietors have access to the eDavki state tax portal that lets them take care of their tax needs. Learn more about eDavki
Many activities require taxpayers to fulfill certain conditions and obtain permits/licenses (learn more).
Read on for more details.
Individual
Individual (prebivalci) can carry out activities without registering as a company or a sole proprietor only if they have a special status (poseben status). There are various special statuses that depend on the type of activity and provide for separate requirements in terms of registration:
The status of a farmer (status kmeta) relates to agricultural activities and is not applicable to activities performed via Solar Staff.
The status of a self-employed creator in the field of culture (status samozaposlenega v kulturi) can be obtained by those who independently carry out activities in the areas provided for in Article 4 of the Act Regulating the Realization of the Public Interest in the Field of Culture (Zakon o uresničevanju javnega interesa za kulturo / ZUJIK), have no pension, and have an appropriate professional education or previous work experience showing they are qualified to perform such activities.
The status of a freelance journalist (status samostojnega novinarja) is obtained by registering with the Ministry of Culture (Ministrstvo, pristojno za kulturo), provided that journalism is the taxpayer's only or main occupation (you can't also be an entrepreneur at the same time).
The status of a private sports worker (zasebni športni delavec) can be obtained by registering with the Ministry of Education, Science and Sports (Ministrstva za izobraževanje, znanost in šport), provided the taxpayer has the appropriate education or qualification for performing this activity.
The status of a private researcher (status zasebnega raziskovalca) can be obtained by registering with the Slovenian Research Agency (Javna agencija za raziskovalno dejavnost, ARRS) if you are:
A researcher with a doctorate in sciences who is qualified to perform R&D activities.
An expert with a master's degree or higher education who is qualified to perform applied R&D activities.
An expert who is qualified to carry out development or innovation activities, regardless of the education or completed R&D work, patents, and innovations.
Read on to learn more about the tax liabilities of individuals.
Income tax (dohodnina) in the form of tax on income from activities (davek od dohodka iz dejavnosti), whose rate depends on the method of determining the tax base:
Taking into account the actual income and flat-rate expenses: 20%.
At a progressive tax rate based on the following income brackets (for 2023-2024):
Below €8,755: 16%.
€8,755–25,750: 26%.
€25,750–51,500: 33%.
€51,500–74,160: 39%.
Over €74,160: 50%.
Taxpayers must submit the tax return of advance income tax and tax on income from activities (obračun akontacije dohodnine in dohodnine od dohodka iz dejavnosti / DDD) to the tax authority online no later than March 31 of the year following the reporting year.
Advance payments are determined on the basis of the tax return and are made in the current tax year:
In monthly installments (if the amount of the advance payment exceeds €400 euros), or
In three-month installments (if the amount of the advance payment doesn't exceed €400)
Advance installments are due on the last day of the period to which they relate and must be paid within twenty days of maturity.
Social security contributions (Prispevki za socialno varnost) amount to 22.1% and comprise:
Pension and disability insurance at 15.5%
Health insurance at 6.36%
Parental care contributions at 0.10%
Unemployment insurance at 0.14%
Reporting. The tax authority prepares a prefilled social contributions statement (predizpolnjen obračun prispevkov za socialno varnost / POPSV) and sends it to the taxpayer via the eDavki portal no later than the 10th day of the month following the reporting month. If the tax authority's calculation is incorrect or missing, the taxpayer must submit the calculation of social insurance contributions (obračun prispevkov za socialno varnost / OPSVZ) no later than the 15th day of the month following the reporting month.
The contributions are paid no later than the 20th day of the month following the reporting month.
Value-added tax / VAT (davek na dodano vrednost / DDV) is paid the same way by both individuals and sole proprietors.
Sole proprietor
Sole proprietor / sole trader / private entrepreneur (samostojni podjetnik / sp / s.p.) means an individual who carries out activities without the establishment of a legal entity and without initial/share capital.
You can register as a sole proprietor via the E-vem service (if you have a digital signature) or at one of the SPOT (VEM) offices 3 months prior to starting your activities. To register, you will need to provide your tax ID number and PIN, as well as proof of identity. You'll also need to submit:
Application to the Slovenian Business Register (vloga za vpis samostojnega podjetnika)
Application to the Financial Administration (oddaja davčnih podatkov za samostojnega podjetnika)
As confirmation of establishing an sp / registering in the Business Register of Sloveniaб you will receive a Sklep o vpisu v Poslovni Register Slovenije.
The name must be unique, so you need to make sure it is not in the AJPES business register before registering.
A sole proprietor's name must contain:
Activity designation
First and last name of the entrepreneur
The s.p. abbreviation
The name may also include additional elements (including fictional ones), but the abbreviated name must contain at least the entrepreneur's first and last name plus the "s.p." letters. There are certain restrictions on naming: you can't use country names, foreign languages, and words that run counter to law or moral norms, among other things (learn more). To withdraw funds from Solar Staff, you need to use your full name (other titles or elements are not supported).
Bank account. You can open a business bank account, or use an individual's checking account for both private and business needs.
Bookkeeping needs to be either single- or double-entry. In some cases, the combination of tax accounting and invoicing is enough. Learn more
Read on to learn more about the tax liabilities of sole proprietors.
Income tax (dohodnina) in the form of tax on income from activities (davek od dohodka iz dejavnosti) is calculated the same way as for individuals.
Social security contributions (Prispevki za socialno varnost) are paid in the same manner as those of individuals.
Value-added tax / VAT (davek na dodano vrednost / DDV) is mandatory and is levied at a rate of 22% if the taxable turnover for the last 12 months exceeds €50,000. VAT can also be applied on a voluntary basis. To pay the tax, you need to apply for a VAT identification number using DDV-P2 Form (instructions). This number consists of an SI prefix and your tax ID number. Learn more about the VAT ID number
VAT is filed online (via the eDavki system) using the DDV-O value-added tax return (obračun davka na dodano vrednost). Taxpayers need to file a tax return even if there were no taxable transactions in the reporting period. The reporting period is a month or a quarter, depending on taxable turnover for the previous calendar year and some other conditions. Taxpayers who have received their VAT ID number must report monthly for the first 12 months (after that – based on the turnover).
The deadline for submitting a VAT return is the last business day of the month following the end of the tax period, and in some cases earlier (for example, if you make intra-EU sales and are required to submit an EC Sales List, you need to file a VAT return before the 20th day of the month following the end of the tax period).
Any Slovenian VAT due must be paid by the last working day of the month following the VAT period end (if you are owed a VAT refund, the tax authority shall make it within 21 days from the day you submit the relevant form).
Additional information
Financial Administration of the Republic of Slovenia (Finančna uprava Republike Slovenije)
Income received through Solar Staff is declared using certificates and invoices, and in accordance with the offer agreement.
If you have any questions, get in touch via the chat in your Solar Staff account or email us at [email protected].