Fiscal subject related
On January 24, 2025, Croatia’s finance minister announced the launch of the Fiscalization 2.0 project set for next year, bringing major updates to the VAT reporting system through the implementation of eInvoices.
Main highlights from the announcement are as follows:
1. Introduction of Fiscalization 2.0.
Croatia’s Finance Minister confirmed that the new tax package is in its final stages, with legislative amendments in progress. The draft will soon be open for public consultation, and implementation is expected next year.
2. eInvoices for VAT Reporting
The new system will shift VAT reporting towards full digitalization using eInvoices. Unlike the current fiscalization framework, which applies only to B2C transactions, Fiscalization 2.0 will extend to:
- Business-to-Business (B2B) transactions,
- Business-to-Government (B2G) transactions.
3. Administrative Simplification & Digital Tools
The reform aims to reduce administrative burdens by eliminating several tax forms.
To support businesses, the government will launch a free application, “FiskApplication”, designed for companies, freelancers, and professionals to review fiscalized data and streamline compliance.
4. Additional Updates from the Finance Minister
- Modernization of Financial Statement Registers: A new web-based application will improve access to the Register of Annual Financial Statements, requiring high-level authentication for security,
- Real Estate Tax Adjustments:
· Local governments must decide by February whether to adjust real estate tax rates, though most are expected to maintain current levels.
· Municipalities can collect the tax directly or delegate collection to the tax administration, similar to existing holiday home taxes.
· Tax adjustments will reflect tourist development indexes of specific locations.
- Recent Tax Policy Changes:
· Increased personal tax deductions
· Higher VAT registration thresholds
· Revised non-taxable income limits
Croatia’s Fiscalization 2.0 marks a significant step toward digital tax reporting, enhancing efficiency for businesses while modernizing VAT compliance.
Other news from Croatia
Grace Period for Compliance in Croatia
Croatia
Author: Vukašin Santo
The Croatian Tax Authority announced that, during the initial phase of implementing the Fiscalization Act, it will apply the principle of opportuneness and refrain from initiating misdemeanor proceedings for early technical or operational difficulties in issuing or fiscalizing eInvoices. However, mandatory eReporting obligations remain fully in force—including the reporting of payments and rejecte... Read more
Croatia: eReporting under Fiscalization 2.0
Croatia
Author: Vukašin Santo
Taxpayers required to issue and receive eInvoices must submit monthly eReporting (eIzvještavanje) by the 20th day of the following month, with the first deadline set for 20 February 2026 covering January 2026 domestic fiscalized transactions. Reporting is performed per invoice—via web service, accredited intermediary, or FiskAplikacija—and includes issuer obligations to report payments and non-iss... Read more
New Regulations on e-Invoicing and Amendments to Tax Rulebooks Published
Croatia
Author: Vukašin Santo
Narodne novine No. 11/26 introduces new and amended tax rulebooks on e-invoicing, the General Tax Act, and VAT, further advancing the digitalization of tax administration and strengthening compliance requirements for taxpayers. The latest issue of Narodne novine No. 11/26 has published several important regulatory acts affecting the tax and invoicing framework. The published regulations include:... Read more
New Version of e-Invoice Validator Released by Croatian Tax Authority
Croatia
Author: Vukašin Santo
The Croatian Tax Administration has released an updated e-Invoice validator with technical fixes and enhancements to improve accuracy, stability, and validation of structured invoice data. The authority confirmed that the Core Usage Specification remains unchanged, as the updates affect only validator logic and technical processing, not business rules. The Croatian Tax Administration has released... Read more
Fiscalization 2.0 in Croatia: Early Results and Clarifications
Croatia
Author: Vukašin Santo
In the first two weeks of Fiscalization 2.0 (1–15 January 2026), Croatia saw strong eInvoice adoption with over 2.55 million fiscalized invoices and clear guidance from the Tax Administration confirming correct handling of self-billing scope, structured XML data in MIKROeRAČUN, and that technical errors (e.g., incorrect dates) do not trigger penalties or tax liabilities during the implementation p... Read more
New document was uploaded: S4FiscalBackoffice Patch
S4F backoffice patch is intended for users who have already installed S4F backoffice and are intended to update existing installations to latest version. To do so apply only patches that are marked with version number that is newer than your currently installed instance of backoffice. Please make sure to install all available patches sequentially (without skipping). This package contains instruction, release notes, changelog and software packages required for deployment of this software component. Read more
Subscribe to get access to the latest news, documents, webinars and educations.
Already subscriber? LoginCroatian Tax Authority Denies Claims of Fiscalization System Instability
Croatia
Author: Vukašin Santo
The Croatian Tax Authority has officially denied claims about instability in the fiscalization system and confirmed that there is no legal or technical reason to postpone the issuance or transmission of eInvoices, including up to 7 January. Taxpayers are urged to rely only on official communications, as the Authority warned that spreading misinformation about the fiscalization system may lead to l... Read more