Sole proprietor (s.p.) income tax?

Hi,  as  s.p   you pay 3 type  of taxes :

1.  social contributions health and pension  etc   38,2 %   of  insurance base  (level depend on your income  )
(contributions are obliagatory  except  you have a proof you already pay them in some other country...but it could be complicated when you get sick  in any case  you must have some health insurance otherwise cost of hospital rise into heaven  )

2.    personal  income tax

Over              To           
0                     8.021,34                      16%
8.021,34             20.400,00    1.283,41       +27%    over  8.021,34
20.400,00    48.000,00    4.625,65          +34%    over  20.400,00
48.000,00     70.907,20    25.535,16     +39%    over 48000
70.907,20                            25.535,16     +50%    over 70.907,20

3, VAT tax  22 % 

But for your work are special conditions around VAT it is matter of discussion because it is quite complicated.


This is in short.  IR

So if I earn €99,000 I can use normalized expenses (Normiranec), then I'd pay annually €99,000 * 0.04 = €3960 (4% tax).
But if I earn €101,000 I can't use Normiranec (I'd have to use the progressive tax table), so I 'd have to pay €40581.56 (40% tax)?

Yes it would be  4% , but dont forget social contributions which  could   be   a very high  cost at this revenue
You can be  'normiranec'  up to  300.000 eur    but   not  with 80% of costs. 
If you your income would be higher   your  cost  will be always  80.000  Eur  So this mean that the  max of cost is :   80.000 eur

For example :  you have income 150.000   Eur  your tax  base will be  70.000  Eur    etc .   
150000-80000  =  70.000    tax  =  14.000 Eur
If you have in next  two years  all together   300.000 Eur  you  can't be normiranec anymore.

So this year  you can  have 150.000 eur  and  next  140.0000 you can  caontinue as normiranec.
Than if yur partner is doing same bussines  (wife)      etc.  ( conected  person)  the income of both partners sum togheter  for purposes  of taxation. But  if  you diffrent  do  busseines both can keep  separate taxation.   

This is new from  1.1.2018.
regards

Thanks a lot for the explanations. How much would I have to pay in social contributions if I earn:
a) 50.000 eur?
b) 100.000 eur?

Maximum is  2. 118,71 Eur   Montly    but is changing all he time  , depend on average payroll in Slovenia     , i should make calculation it is pretty comlicasted  , regards

If I earn 50.000 eur, how much is the insurance base?
Thanks

= min   363,20   montly    at 50000  income
   aprox 580   montly  at    100 .000  income 

but  this is changing  according  to   the   many  other    circumstances 
so calculation  is  aproximating. 
come  here  and have a   look 
only the moving   to slovenia will be very  hard  .  a lot  of  bureaucracy
then  hard    weather   
but not everything   bad 
some  things are  very good 
i just don't want  to give you an illusion , just a realistic  picture
dont  forget  on  VAT    identification     
it is not so easy as it seems

if you decide  to  move i would  be glad  of your responce 

good luck  ir

Thanks a lot for the detailed info and the advice
I travelled in Slovenia last december with my wife and it was cold, but we really liked it anyway. I'm polish so I hope it won't be too complicated to settle in Slovenia.
About VAT, I export software development services to companies in the US, so VAT would be 0.
Do social contributions include public health insurance for my wife too or only for me? We don't have kids.
Thank you!

Public insurance can include also your family members   but i dont know how will be the case with y wife...guess she is not slovenian .  If you plan to be developer only for third  countries (out of EU)  this is
True  but in EU   it  is   False ...so everything is relative.

regards ir

I really appreciate your explanations, thanks a lot
I hope we can move to Slovenia soon, such a beautiful country!

Hello

I know this quite old post, but it really helped me to understand more about SP and Tax system.

Not sure if would be anyone still following up with the post bec I want to ask a question about insurance.

If I have a private insurance here in slovenia, do I still have to pay Insurance and social contributions

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Omar Vector wrote:

Hello


If I have a private insurance here in slovenia, do I still have to pay Insurance and social contributions

Answer to your question Yes, you still have to pay.