As of 1st of January 2020, the income tax rate is reduced from the original 21% to 15% for companies and sole traders with income not exceeding € 100,000 per tax period.

There are many taxpayers whose income exceeds this threshold. However, those taxpayers could reassess their business activities and they could find a solution to the obtain above-mentioned tax advantage and simultaneously complying with the statutory income limit, which is subject to a lower tax rate and thus achieve tax savings.

Should the assessment of your business activities result in a decision of establishing another company, the VGD Legal s.r.o. team will be happy to set up a new company and ensure compliance with tax and statutory obligations.

The establishment of another company also bears the costs associated with court fees, compliance with accounting and tax obligations. These costs are likely to be covered by tax savings already in the first year.

At VGD, we will happy to help you with any problem (not only) related to this issue. For more information click on our web site, Facebook or Linked-In.