The Slovak Republic has introduced a new reporting obligation for large corporations and multinational structures in the area of international tax transparency – the so-called income tax information report (Public Country-by-Country Reporting), which arises from the Accounting Act.
The main purpose of this reporting requirement is to provide the public with an overview of the economic activities of a group operating in different countries, the tax burden borne by the group, and to strengthen confidence in the transparency of the tax systems of individual countries.
▢ Who is subject to the new reporting obligation?
The statutory obligation to prepare an income tax information report primarily applies to companies at the top of an economic group – i.e. parent companies preparing consolidated financial statements.
The following table provides an overview of the rules applicable to different group entities:
|
Entity subject to reporting |
Condition |
|
Ultimate parent entity |
Requirement to prepare consolidated financial statements if total consolidated revenue exceeded EUR 750 million (in at least two consecutive periods) |
|
Standalone accounting entities |
If total revenue or net turnover exceeded EUR 750 million (in at least two consecutive periods), even if the entity is not part of a group |
|
Subsidiaries |
If total revenue or net turnover exceeded EUR 750 million (in at least two consecutive periods) and the ultimate parent entity is located outside the EU (the report of the foreign parent entity is published) |
|
Branches / organisational units |
If they meet the standard size criteria set out below (and operate in Slovakia at the same time) |
For the standard assessment of the size of an accounting entity, a company falls into the category of a large entity if it meets at least two of the following three criteria in each of the two consecutive preceding periods:
- total assets exceeding EUR 5 million,
- net turnover exceeding EUR 10 million; or
- an average number of employees exceeding 50.
▢ Exemptions from the obligation to submit the transparency report
The obligation to publish an income tax information report does not apply to companies that do not reach the EUR 750 million revenue threshold or do not meet the prescribed size criteria.
The Act also defines situations where the reporting obligation is considered to have been fulfilled automatically. This may be the case, for example, where the parent company publishes the report on its website in accordance with EU regulations and the report remains freely accessible to the public for a period of five years.
▢ Reporting deadlines
For businesses whose accounting period corresponds to the calendar year, the reporting obligation applies for the first time to the 2025 accounting period. The prepared report must be officially filed with the Register of Financial Statements and, at the same time, with the Collection of Documents of the Commercial Register.
- the report must be filed no later than one year after the end of the relevant accounting period.
Accordingly, the deadline for the 2025 reporting period is 31 December 2026.
