Croatia Tax Reform Legislation Presented Including Corporate, Individual, and VAT Rate Cuts

Croatia's Minister of Finance Zdravko Marić has announced tax reform plans that include a number of major tax rate cuts and other measures to simplify the tax system. Proposed changes include:

• Reducing the corporate tax rate from 20% to 18%;
• Introducing a reduced corporate tax rate of 12% for small business and farmers;
• Reducing the tax rates for the middle and top individual income tax brackets from 25% to 20% and from 40% to 36% respectively;
• Reducing the standard value added tax (VAT) ta…