Guide to Property Taxes in Slovakia

Nonresident individuals are generally taxed in Slovakia on Slovak-source income, including income derived from real estate located in Slovakia. Married couples are generally taxed separately.

Income Tax

Slovakia applies progressive personal income-tax rates. From 2026, the individual income-tax system includes rates of 19%, 25%, 30% and 35%, depending on the amount and type of taxable income.

For rental income and other income falling within the relevant general tax base, the applicable rate depends on the taxpayer's total taxable income and the statutory thresholds for the relevant tax year.

Rental Income Tax

Rental income derived from Slovak real estate by a nonresident individual is generally taxable in Slovakia.

A taxpayer can deduct actual expenses incurred in earning and maintaining the rental income, subject to the applicable tax rules and documentation requirements. However, the 60% lump-sum expense deduction does not generally apply to ordinary rental income. It principally applies to qualifying business and self-employment income.

Slovakia also provides an annual €500 exemption for qualifying rental income. Where rental income exceeds the exemption, deductible expenses must generally be reduced proportionately to reflect the exempt portion of the income.

The precise availability of deductions, including depreciation and financing expenses, depends on how the property is held and whether it is included in the taxpayer's business assets.

For a nonresident individual earning rental income from Slovak real estate, annual gross rental income of €18,000, €72,000 and €144,000 results in estimated annual income tax of approximately €2,328, €9,874 and €25,751, respectively.

The calculation assumes actual deductible rental expenses equal to 30% of gross rental income for comparison purposes. Slovakia also provides an annual €500 exemption for qualifying rental income, with the corresponding deductible expenses reduced proportionately.

After these adjustments, estimated taxable rental income amounts to approximately €12,250, €50,050 and €100,450, respectively. These amounts are subject to Slovakia's 2026 progressive personal income-tax rates of 19%, 25%, 30% and 35%.

The resulting income-tax burden is approximately 12.9%, 13.7% and 17.9% of gross rental income at the three respective income levels.

Capital Gains

Capital gains from the disposal of Slovak real estate can be taxable as other income where an exemption does not apply. The gain is generally included in the individual's taxable income and taxed at the applicable personal income-tax rate.

A significant exemption applies where real estate has been owned for more than five years, provided the relevant statutory conditions are satisfied.

Where the property was included in business assets, the exemption generally requires at least five years to have elapsed since the property was removed from business assets.

The former general exemption based simply on having permanent residence in the property for two years should not be presented as a current general exemption.

Corporate Tax

Slovak companies are subject to corporate income tax at rates that depend on their level of taxable revenues.

For the current system, the principal corporate income-tax rates are:

• 10% for qualifying taxpayers with taxable revenues not exceeding €100,000

• 21% for taxpayers falling within the standard band

• 24% for taxpayers whose taxable revenues exceed €5 million

Qualifying expenses incurred in generating and maintaining taxable income are generally deductible, subject to Slovakia's corporate tax rules.

A nonresident company is generally subject to Slovak corporate income tax on Slovak-source income attributable to a Slovak permanent establishment and on certain other categories of Slovak-source income under domestic law.

Property Buying and Selling Taxes/Costs

Property Taxation in Slovakia

Slovakia imposes an annual municipal real estate tax. The tax consists of three main components:

1. Land tax

2. Building tax

3. Tax on apartments and non-residential premises

The statutory annual base rate for land tax is 0.25% of the relevant taxable land value.

For buildings, the statutory base rate is €0.033 per m² of built-up area per year, while apartments and non-residential premises have a statutory base rate of €0.033 per m² of floor area per year.