Tax news - May 2025

Recording of Working Hours

An amendment to the Act on Records in the Field of Labour and Social Security (ZEPDSV-B) was published in the Official Gazette of the Republic of Slovenia, introducing changes related to the recording of working hours. The changes will take effect on April 23, 2025.

The amendment provides a clearer definition of who qualifies as a worker. In addition, it introduces the following changes:

-       There is no longer a requirement to record the duration and use of breaks during working hours on a daily basis;

-       Records of working hours are no longer required for managerial staff;

-       The employer may send the employee written information regarding the data from the working time records to an email address mutually agreed upon (e.g., the employee’s personal email address);

-       Hours worked under special working conditions arising from work schedule arrangements (particularly hours worked at night, on Sundays, in shifts, on holidays, during split shifts, and other work arrangements defined by law or collective agreement) may be recorded on a monthly basis.

Pay for annual leave

In accordance with labor legislation, employers must pay the pay for annual leave no later than July 1st of the current calendar year. Only in exceptional cases (e.g., late employment or a collective agreement due to the employer's illiquidity) is possible a later deadline.

The minimum amount of the pay for annual leave must be at least equal to the minimum wage, which this year is EUR 1,277.72, or the minimum amount set by a binding collective agreement.

Upon payment, the maximum non-taxable amount of the pay for annual leave can be up to the most recent known average gross monthly salary of employees in Slovenia.

Regarding the tax treatment of the annual leave payment, it should be noted that the payment is not included in the taxable base if its total amount for the year does not exceed 100% of the average annual gross salary of employees in Slovenia, converted to a monthly figure – for the year for which the income tax is assessed.

Proposal for the Taxation of Cryptocurrencies and Derivative Financial Instruments

The Proposal for the Act on Taxation of Gains from the Disposal of Cryptocurrencies is expected to come into effect on January 1, 2026. It proposes that the profits of individuals from the disposal of cryptocurrencies in the tax year are taxed. The disposal of a cryptocurrency includes exchanging it for fiat currency or transferring the cryptocurrency in exchange for goods or services, or any other transfer of the cryptocurrency to another person. Disposal does not include exchanging one cryptocurrency for another or transferring cryptocurrencies between wallets of the same holder. The proposed tax rate is 25 percent, with the tax base being the profit from the disposal of the cryptocurrency earned in the tax year.

The amendment to the Act on Taxation of Gains from the Disposal of Derivative Financial Instruments proposes taxation at a proportional rate of 25 percent, regardless of the holding period or the time elapsed since the transaction.

Amendments to the Employment, Self-Employment and Work of Foreigners Act and the Foreigners Act

The government has adopted the proposed amendments to the Employment, Self-Employment and Work of Foreigners Act and the Foreigners Act. These amendments transpose the revised EU Directive aimed at facilitating the arrival of highly qualified workers from third countries to the EU, primarily through easier recognition of qualifications and professional experience and a more unified system for issuing the EU Blue Card.

Key changes in the amendment to the Employment, Self-Employment and Work of Foreigners Act:

-       A new condition for employing foreigners: the employer must not have previously dismissed employees for business-related reasons;

-       Introduction of a register of employers sanctioned for violations of labor legislation;

-       Possibility of seasonal work for foreigners in tourism and hospitality – exclusively under an employment contract.

Key changes in the amendment to the Foreigners Act:

-       Temporary residence permits for digital nomads;

-       Faster procedures for issuing permits in cases of national interest;

-       The possibility for foreigners whose application for international protection was rejected to apply for a single permit if they have been integrated into the labor market for at least six months;

-       More efficient delivery of decisions and elimination of constitutional inconsistencies related to the restriction of foreigners' movement.

Regulation on the Determination of Real Estate Valuation Models

On April 24, 2025, the Government adopted the Regulation on the Determination of Real Estate Valuation Models. The Surveying and Mapping Authority will assign updated generalized real estate values to all properties in the valuation register and will notify property owners of the determined values by post. In addition, data on the market value of real estate will be publicly accessible.

Additional U.S. Tariffs

As of April 9, 2025, additional tariffs on imports into the United States have come into effect, accompanied by a 90-day freeze on any further increases in these duties. During this freeze period, reciprocal tariffs will remain at a level of 10 percent.

China is excluded from the temporary freeze, with its tariffs significantly increased to 125 percent.