Property Related Taxes in Bosnia and Herzegovina
Tax Rate on Rental Income |
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| Monthly Income | €1,500 | €6,000 | €12,000 |
| Tax Rate | 10.00% | 10.00% | 10.00% |
Bosnia and Herzegovina (BiH) consists of two main territorial entities and tax jurisdictions: The Federation of Bosnia and Herzegovina (FBiH) and the Republic Srpska (RS).
Nonresidents are taxed on their income from sources in Bosnia and Herzegovina.
Rental Income Tax
In both The Federation of Bosnia and Herzegovina (FBiH) and the Republic Srpska, the income tax rate is 10%.
Capital Gains Tax
Capital Gains are taxed under the normal personal income tax with a rate of 10%
Property Tax
In The Federation of Bosnia and Herzegovina the property tax rates are determined by the cantonal laws and depend on the value and size of the property. The tax rates vary from 0.05-1.00% of the value of the property.
Corporate Tax
Corporate income is taxed at a flat rate of 10% in both tax jurisdictions or territorial entities of The Federation of Bosnia and Herzegovina (FBiH) and the Republic Srpska (RS).
Property Buying Costs and Taxes in Bosnia and Herzegovina
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Transaction Costs |
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| Who Pays? | ||
| Transfer tax | 5.00% | buyer |
| Notary fees | 0.10%- 0.20% | buyer |
| Legal fees | 0.10% - 0.50% | buyer |
| Real Estate Agent Fee | 2.00% - 3.00% | seller |
| Total costs paid by the buyer: | 5.20% - 5.70% | |
| Total costs paid by the seller: | 2.00% - 3.00% | |
| ROUNDTRIP TRANSACTION COSTS | 7.20% - 8.70% | |
| Source: Global Property Guide | ||