In addition to the existing benefits comprising highly qualified labor force at competitive prices, the possibility of duty-free exports to all the markets in South East Europe and Russia,strategic geographic position and the lowest corporate profit tax in Europe at 10%, Serbia is proud to offer financial assistance for future investments in the country. Based on the Serbian Government Decree adopted in late June of 2006, the non-refundable funds will be assigned according to specified criteria for investment projects in all areas, except for trade, tourism, hospitality and agriculture. Eligible companies are those involved in manufacturing activities, internationally marketable services sector* and research and development sector.
Investments in manufacturing activities:
Available funds: starting at €2,000 up to €5,000 per every new employee,
The minimum investment amount: between €1 million and €5 million, depending on the unemployment rate in the municipality where the investment is made,
The minimum number of new job positions: 50.
Investments in the internationally marketable services sector:
Available funds: starting at €2,000 up to €10,000 per every new employee,
The minimum investment amount: €1 million,
The minimum number of new job positions: 10.
Investments in the R&D sector:
Available funds: starting at €5,000 up to €10,000 per every new employee,
The minimum investment amount: €1 million,
The minimum number of new job positions: 10.
Other incentives:
- 10% corporate profit tax
- Free trade agreements with Russia, Albania, Bulgaria, Bosnia and Herzegovina, Croatia, Macedonia, Moldova and Romania
- Imported equipment is exempted from custom duties and other import charges, except for motor vehicles and gambling machines
- 10 years tax holiday for the investment over 600 million CSD with creation of more than 100 new jobs
- 5 years tax holiday for the investment over 6 million CSD with creation of more than 5 new jobs in the underdeveloped region
- Profit earned on a basis of concession is tax-free for a period of 5 years
- Profit earned in Serbia can be freely transferred abroad
- In case of employing persons older than 50, the employer is freed from paying all the taxes and contributions on wages
Foreign natural persons, temporarily residing in Serbia for more than two years, can import motor vehicles without paying custom duties.