Thinking about leaving Croatia and wondering how to officially cease your tax residency? While this might seem like a daunting process, we're here to break it down step-by-step for you. Follow these instructions closely to ensure you meet all the legal requirements and bid farewell to your tax obligations in Croatia.
Determine Eligibility
First, ascertain whether you qualify to cease your tax residency in Croatia. Generally, you must either leave Croatia permanently or reside outside Croatia for more than 183 days in a calendar year. Ensure you do not maintain a permanent home in Croatia during this period.
Notify the Tax Authorities
Submit a written notification to the Croatian Tax Administration (Porezna uprava) indicating your intention to cease tax residency. Include your personal details, reason for leaving, and the date of your departure or extended stay abroad.
Submit Form TI
Complete and submit Form TI (Declaration of Termination of Tax Residency) to the Croatian Tax Administration. This form will require comprehensive information about your residency status, foreign address, and other pertinent details.
Provide Supporting Documentation
Gather and submit supporting documents, such as proof of foreign residency, employment contracts, or lease agreements abroad. These documents substantiate your claim of non-residency in Croatia.
Settle Outstanding Taxes
Ensure all your tax obligations in Croatia are fully settled before you leave. This includes filing any pending tax returns and paying any outstanding taxes, interest, or fines.
Obtain Confirmation
After processing your application, the Croatian Tax Administration will issue a confirmation of the cessation of your tax residency. Keep this document for your records.
Inform Other Relevant Authorities
Notify other relevant authorities, such as the Croatian Health Insurance Fund (HZZO) and the Croatian Pension Insurance Institute (HZMO), about your change in residency status to avoid any future complications.
Legal References
- General Tax Act (Zakon o općem poreznom postupku)
- Income Tax Act (Zakon o porezu na dohodak)
- Regulation on Determining the Moment of Cessation of Tax Residency (Pravilnik o utvrđivanju trenutka prestanka porezne rezidentnosti)
Useful Links
