Tax Rates and Contributions for Flat-Rate Entrepreneurs in 2026

Tax obligations of a flat-rate entrepreneur in 2026

A paušalni preduzetnik (flat-rate entrepreneur) pays tax and contributions on the monthly base from the assessment decision issued by the Poreska uprava (Tax Administration). Payment is monthly, no later than the 15th of the month for the previous month (if the 15th falls on a non-working day — the next working day).

Income tax

Rate: 10% on the flat-rate income (base) determined in the Tax Administration's assessment decision.

The flat-rate income is determined individually based on:

• Activity code
• Location (municipality)
• Size of the business premises
• Previous year's revenue

Mandatory social insurance contributions

Rates (Article 44 of the Social Insurance Contributions Act) on the base from the assessment decision — contributions cannot fall below the statutory minimum base for 2026 (51.297 RSD):

Pension and disability insurance (PIO) contribution

• Rate: 24% (effective from 1 January 2023; the earlier 25,5% no longer applies)

Health insurance contribution

• Rate: 10,3%

Unemployment insurance contribution

• Rate: 0,75%

Total burden on the base

Obligation	Rate
Income tax	10%
PIO	24%
Health	10,3%
Unemployment	0,75%
Total	45,05%

Note: Always take the exact monthly amounts from your assessment decision. For a sample calculation on your own base, see the calculator.

Payment deadlines

Tax and contributions are paid monthly:

• Deadline: by the 15th of the month for the previous month
• Example: January obligations — by 15 February

Special thresholds: 6.000.000 RSD in a calendar year = loss of flat-rate status (you continue as a bookkeeping entrepreneur taxed on actual income). 8.000.000 RSD in any 365-day period = mandatory VAT registration and automatic loss of flat-rate status (not the same as converting to a DOO).

Late payment penalties

Late payments accrue default interest. The Tax Administration may initiate enforced collection if the debt exceeds a certain amount.