Slovakia
Form a Slovak s.r.
Foreign Ownership Eligibility
Slovakia welcomes 100% foreign-owned companies
Fully remote formation — you never need to set foot in the country.
- 100% foreign ownership permitted in most sectors — no mandatory local partner or resident director required
- No residency requirement for directors (konatelia) or shareholders — a single foreign national can be sole owner and sole director
- Minimum EUR 5,000 share capital required for s.r.o. — full amount must be deposited before registration
- Notarial deed (zápisnica) is legally required for s.r.o. formation — cannot be substituted with self-signed articles
- Trade licence (živnostenský list) must be obtained from the District Office before Commercial Register filing
- Registered address in Slovakia required — virtual office or registered agent address is acceptable
- Certain regulated sectors (banking, insurance, securities, energy, telecommunications) require licensing from NBS or sector regulator
Ownership
100% Foreign OK
Formation
100% Remote
Note
Physical presence is NOT required for company incorporation itself, but IS required for corporate bank account opening at all major Slovak banks. Additionally, the mandatory Financial Transaction Tax (FTT) of 0.4% on all bank account debits — introduced in January 2025 — must be factored into operating costs from day one. The minimum CIT (tax licence) means loss-making companies still owe EUR 340–11,520 annually.
Tax at a glance
Slovakia Tax Overview
10%
CIT on income up to EUR 100,000 (from 2025)
One of the lowest SME CIT rates in the EU; applies to all taxable income up to EUR 100,000 per year for qualifying companies
21%
CIT on income EUR 100,000 to EUR 5 million
Mid-tier rate for companies with income between the SME threshold and the large-company threshold
24%
CIT on income above EUR 5 million
Top tier rate for large companies; introduced as part of the 2025 tiered CIT reform
7%
WHT on dividends to individual shareholders (from 2025)
Reduced from 10% in the 2025 reform; applies to dividend distributions to Slovak and foreign individual shareholders
50%
CIT exemption via Patent Box
50% of income from owned patents, utility models, and self-developed software is exempt from CIT — the software inclusion makes this particularly valuable for tech companies
100%
Additional R&D cost deduction (200% effective)
R&D costs deductible in full as normal expense plus additional 100% deduction — total effective 200% deduction; incentivises innovation and R&D investment
23%
Standard VAT rate (increased from 20% in 2025)
Among the highest standard VAT rates in the EU following the 2025 increase; mandatory registration above EUR 50,000 annual turnover
0.4%
Financial Transaction Tax (FTT) on bank account debits from January 2025
Capped at EUR 40 per transaction; also EUR 2/year per payment card. Unique to Slovakia in the EU — adds compliance obligations and cost to all banking debits
EUR 340–11,520
Mandatory minimum CIT (tax licence) per year
Regardless of profits — minimum annual CIT ranges from EUR 340 (income up to EUR 50,000) to EUR 11,520 (income above EUR 5 million). Even loss-making companies must pay
Pros & cons
Advantages & Considerations
Key Advantages
10% CIT for income up to EUR 100,000 (from 2025) — one of the lowest small-company CIT rates in the EU. SMEs, startups, and early-stage foreign-owned subsidiaries with income under EUR 100,000 pay the 10% rate.
EU + Eurozone membership — full EU single market access, Euro currency (no conversion risk for EUR-denominated operations), and legal system harmonised with EU law. Slovakia joined the Eurozone in 2009.
Central European location — bordered by Austria, Czech Republic, Poland, Hungary, and Ukraine. Within a 2-hour drive of Vienna, Budapest, Prague, and Bratislava — four European capitals with international airports.
Established automotive supply chain — Volkswagen, Kia, Stellantis (Citroën/Peugeot), and Jaguar Land Rover all have major plants in Slovakia. The country has one of the highest vehicle-production-per-capita ratios in Europe, with a deep supplier network built around those plants.
Patent Box: 50% CIT exemption on income from owned patents, utility models, and self-developed software. The software inclusion is broader than most EU Patent Box regimes — SaaS and software companies get more benefit here than in the majority of EU jurisdictions.
R&D super-deduction: 100% additional deduction on qualifying R&D costs (200% effective total deduction) — incentivises tech, pharmaceutical, and manufacturing R&D investment in Slovakia beyond standard deductibility.
Investment incentives for qualifying projects — tax credit available for qualifying industrial, technology centre, shared services, and tourism projects for up to 10 years; minimum fixed asset investment thresholds apply.
EU Schengen Area member — passport-free travel and movement across 29 Schengen states; reduces logistics and travel complexity for management and employees operating across Europe.
Lower operating costs versus Western Europe — average wages significantly lower than Germany, Austria, or France; skilled manufacturing and engineering labour is available at a fraction of Western European rates.
Considerations
Tiered CIT creates complexity — three different rates (10%/21%/24%) combined with mandatory minimum CIT payments (tax licence) regardless of profit require careful annual tax planning to avoid unexpected cash obligations.
Standard VAT rate increased to 23% in 2025 — up from 20%; now among the highest standard VAT rates in the EU. This affects input cost recovery for non-VAT-registered buyers and increases consumer price pressures.
New Financial Transaction Tax (FTT) from January 2025 — a 0.4% tax on debits from business bank accounts (capped at EUR 40 per transaction) plus EUR 2/year per payment card. This is an unusual charge unique to Slovakia in the EU context, adding compliance obligations and cost to every banking debit.
Notary requirement for s.r.o. formation — unlike neighbouring Czech Republic and some Baltic states, Slovak s.r.o. formation mandates a notarial deed (zápisnica), adding 2–3 days and EUR 100–250 to the formation process.
Slower company formation than Baltic states — total registration (notary + trade licence + Commercial Register) takes 10–25 business days, compared to 1–5 days in Estonia or Latvia.
Small domestic market — population approximately 5.5 million; most foreign investors use Slovakia primarily as an export or manufacturing base rather than targeting the domestic market.
Political risk — Slovak government policy has shown some instability; the FTT was introduced in 2024 with limited advance notice. Investors should monitor legislative developments carefully.
Language barrier — Slovak is the official language; all official dealings with the Commercial Register, Tax Office, and courts are in Slovak. Documents must be translated and legal representation is practically essential.
Structural Comparison
s.r.o. — Spoločnosť s ručením obmedzeným (Private Limited Company)
a.s. — Akciová spoločnosť (Joint-Stock Company)
Branch of a Foreign Company (Organizačná zložka)
SE — Societas Europaea (European Company)
Incorporation Process
The process is strictly digital. Each stage builds on the previous one.
Free consultation with XBandGlobal specialists to confirm entity type (s.r.o. standard, sector-specific structure, or investment incentive zone strategy), clarify formation requirements, and outline costs and timelines.
Name availability check on the Slovak Commercial Register portal (orsr.sk). Reserve the preferred company name while formation documents are prepared.
Arrange notarisation of the s.r.o. foundation deed — Slovak law mandates a notarial deed (zápisnica) for s.r.o. formation. XBandGlobal connects you with a Bratislava-based notary who verifies shareholder identities and certifies the foundation documents. Allow 1–2 days.
Open a bank account at a Slovak bank (Tatra banka, VÚB, or ČSOB) and deposit the minimum share capital of EUR 5,000 in full. The bank issues a capital confirmation letter required for Commercial Register filing.
Apply for a trade licence (živnostenský list) from the District Office Trade Licensing Department (živnostenský úrad). This must be obtained before Commercial Register registration. Allow 3–5 business days.
What you'll pay
Cost Architecture
Government Fees
Annual Ongoing
Professional Services
Slovakia's government registration fees are modest (EUR 150 for s.r.o.), but the mandatory EUR 5,000 upfront share capital and notary requirement (EUR 100–250) make the initial setup more capital-intensive than Baltic or Serbian alternatives. The biggest ongoing surprise for new companies is the mandatory minimum CIT (tax licence) — even a company with zero revenue owes EUR 340–11,520 per year, and the new 0.4% Financial Transaction Tax applies to every bank account debit from January 2025.
Still unsure about costs?
These are estimates — your actual cost depends on your structure
Every Slovakia setup is different. A 15-minute call with one of our specialists will give you a personalised cost breakdown — completely free.
Fintech & Banking
Can non-residents open accounts without visiting? YES.
Banking options for non-resident founders in Slovakia. Remote account opening availability varies by institution.
| Institution | Type | Ease for Non-Residents | Notes |
|---|---|---|---|
| Tatra banka | Raiffeisen Bank International subsidiary | Low (Visit Required) | Strong corporate banking services; premium business account products. Austrian parent standards. In-person account opening required. Good for companies with international operations needing European banking infrastructure. |
| Slovenská sporiteľňa (SLSP) | Erste Group subsidiary | Low (Visit Required) | Largest bank in Slovakia by total assets. Austrian Erste Group parent. Extensive branch network across Slovakia. In-person account opening required. Well-suited to domestic and export-focused businesses. |
| VÚB | Intesa Sanpaolo subsidiary | Low (Visit Required) | Good for corporate clients; extensive branch network nationwide. Italian parent (Intesa Sanpaolo) provides strong trade finance and international banking infrastructure. In-person required. |
| ČSOB | KBC Group subsidiary | Low (Visit Required) | Belgian KBC parent; strong presence in both Czech and Slovak markets. Good for companies with Czech Republic operations who want integrated banking across both markets. |
| Fio banka | Czech private bank | Low (Visit Required) | Lower-cost option for basic corporate banking needs. Czech private bank with Slovak operations. Limited remote onboarding. Suitable for straightforward domestic operations with lower transaction volumes. |
| Wise Business | EMI (Electronic Money Institution) | High (Remote) | Fully remote onboarding. EUR IBAN available. Ideal for international payments and multi-currency operations. Not a full bank — cannot provide credit facilities or hold large deposits. Use alongside a full Slovak bank account. |
| Revolut Business | EMI (Electronic Money Institution) | High (Remote) | EUR IBAN available; remote account opening. Multi-currency support. Not suitable as sole banking solution for a Slovak company due to regulatory and compliance limitations for EMIs. Good for initial setup or supplementary international payments. |
Frequently Asked
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