VAT registration in Slovakia for e-commerce sector – key issues for online entrepreneurs

In the dynamic world of e-commerce, access to international markets has become an integral element of many entrepreneurs’ strategies. Slovakia, as an integral part of the European business landscape, offers attractive opportunities for the e-commerce sector. However, entrepreneurs intending to operate in this market must understand the complex procedures related to VAT registration. In this article, we will examine key issues associated with the VAT registration process in Slovakia, focusing our attention particularly on online entrepreneurs. We will analyze the requirements, benefits, and essential tax aspects necessary for effective functioning in the Slovak e-commerce environment.

VAT registration in Slovakia – obligation to register for VAT

All e-commerce companies delivering products or services to the Slovak market must consider VAT registration in Slovakia. This obligation applies to both local businesses and those headquartered outside Slovakia but storing goods within its territory. For the e-commerce sector, there is a significant turnover threshold beyond which registration becomes mandatory.

According to regulations effective from July 1, 2021, in Slovakia, as in other European Union countries, the distance selling threshold is set at 10,000 euros. This threshold is uniform, meaning that the total value of goods and services sold is not calculated separately for each EU country but is the sum of all distance sales from all EU countries. In the event that e-commerce entrepreneurs are not registered for VAT-OSS and exceed the established tax threshold, they are obliged to register for VAT locally in Slovakia.

VAT registration – situations requiring e-commerce entrepreneurs to register for VAT in Slovakia

Situations in which entrepreneurs are obligated to register for VAT in Slovakia include, among others:

• conducting the sale of goods and provision of services within Slovakia,
• exporting and importing goods to and from third countries,
• warehousing goods within the territory of Slovakia and dispatching them to recipients in other member countries of the European Union,
• importing goods into Slovakia from other European Union countries,
• engaging in intra-Community distance sales of goods, the value of which exceeds 10,000 euros.

Collection of necessary documents by e-commerce entrepreneurs

Before initiating the registration process, e-commerce entrepreneurs should prepare the required documentation for the registration procedure. The necessary documents include, among others:

• completed application,
• original or notarized copy of the entry in the commercial register, accompanied by a sworn translation into Slovak,
• confirmation of VAT registration in the home country, along with a sworn translation into Slovak,
• copy of the identification document,
• power of attorney in Slovak or Czech, if utilizing the services of an authorized representative.

E-commerce entrepreneurs should be aware of the necessity to present documents in the Slovak language during the VAT registration process in Slovakia. It is also advisable to consider utilizing the services of a sworn translator, which facilitates understanding and completion of the registration procedures.

Filling out the registration form for VAT in Slovakia

These forms are available online on the Slovak tax administration website. While completing the form, the entrepreneur will need to provide detailed information about their business, planned turnover scale, and company identification data. Entrepreneurs can register for VAT in Slovakia online, as well as through correspondence or in person.

Sending documents to the Tax Office in Slovakia
After filling out the form, the entrepreneur should submit all necessary documents to the relevant tax office in Slovakia. This stage can typically be completed electronically, expediting the registration process.

Obtaining a DIČ tax identification number
Upon submitting complete documents, the entrepreneur undergoes the registration processing by the Slovak tax administration. After a positive review of the application, a unique VAT number, known as “DIČ” (Daňové identifikačné číslo), is assigned. This number is crucial for legally conducting business in the Slovak market.

Slovak VAT number for online retailers: DIČ

The Slovak VAT number, also known as “DIČ” (Daňové identifikačné číslo), consists of 10 digits. It is often preceded by the two-letter country code “SK” (Slovakia), so the complete VAT number in Slovakia may have the format “SK1234567890”.

VAT reporting in Slovakia – key dates and periods

VAT taxpayers in Slovakia, including e-commerce entrepreneurs, have specific deadlines for submitting declarations, depending on their annual turnovers. There are two main reporting periods:

• monthly VAT reporting for entrepreneurs, including e-commerce entrepreneurs, whose annual turnovers exceed 100,000 EUR. The deadline for submitting monthly declarations is the 25th day of the month following the accounting month,
• quarterly VAT reporting for taxpayers with annual turnovers not exceeding 100,000 EUR. Quarterly VAT declarations must be filed by the 25th day of the month following the end of the tax quarter.

It should be noted that taxpayers conducting goods movements between Slovakia and other European Union countries must also submit Intrastat declarations. Additionally, online sellers must remember the obligation to file the annual VAT summary (DPR), which must be submitted by January 31 of the following year.

In case of errors, taxpayers have the option to correct VAT declarations, which can be submitted within 3 years from the end of the year in which the original declaration was filed.

Specific transactions for the e-commerce sector subject to taxation

• Importation of goods into Slovakia,
• exportation of goods from Slovakia,
• intra-Community transactions, i.e., the sale of goods between European Union countries,
• local sales, i.e., the purchase of goods and their subsequent resale within Slovakia,
• digital services, such as digital content, software, or access to streaming platforms,
• transactions conducted on electronic trading platforms.

VAT rates applicable in Slovakia in 2024

Standard VAT rate (20%)
Applies to the majority of standard goods and services, such as electronics, furniture, clothing, luxury items, telecommunication services, data processing, repairs, and maintenance.

Reduced VAT rate (10%)
The reduced rate applies to specific categories of goods and services considered more essential to society. Products covered by the reduced rate include, among others, food, books, medicines, hotel services, and tickets for various cultural or sporting events.

Zero rate
Applied for the export of goods outside the European Union and for intra-Community transactions between businesses in different EU countries.

VAT exemption
Certain transactions are exempt from VAT, meaning they are not subject to either the standard or reduced rate. This applies, for example, to financial services, medical services, property rentals, or the supply of certain used goods.

Support in registration and preparation and filing of VAT returns in Slovakia

If you, as an online seller, are grappling with the complexities of VAT tax regulations and need support in this area, amavat® will provide you with the assistance of a dedicated Customer Care Manager and the professional support of local tax advisors across Europe. As part of our services, we also handle comprehensive VAT Compliance, including registration and filing of VAT declarations.

We invite you to a free consultation with our expert who will address all your pressing questions.

amavat® team

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