When must a company register for VAT?

When total turnover in a calendar year exceeds 2,000,000 denars. Registration is also required at the start of an activity, if the threshold is expected to be passed.

By when is the ДДВ-04 return filed?

Within 25 days of the end of the tax period — the month or the quarter. УЈП names the same date for the payment as well.

VAT: rates, the registration threshold and the deadlines

The figures are for 2026 · last checked 15.09.2026

Three things decide where a company stands on VAT: whether it has passed the registration threshold, how often it files, and which rate it charges. This page gives all three, along with the exchange-rate rule that is most often applied wrongly.

Figures

Standard rate: 18 %
Reduced rate — hospitality: 10 %
Reduced rate — per the list in the law: 5 %
Threshold for compulsory VAT registration: 2.000.000 ден.
Ceiling for a quarterly tax periodTotal turnover in the previous calendar year.: 25.000.000 ден.
Deadline for the ДДВ-04 return after the end of the tax period: 25 дена

The registration threshold

A company whose total turnover in a calendar year exceeds 2,000,000 denars must register for VAT. Total turnover is the sum of all taxable turnover in the calendar year, including the tax on it, other than turnover exempt without the right to deduct input tax. Registration is also required at the start of an activity, when the threshold is expected to be passed.

A monthly or a quarterly tax period

The tax period is a calendar month or a calendar quarter. A taxpayer whose total turnover in the previous calendar year did not exceed 25,000,000 denars may file quarterly; above that, the tax period is monthly.

Deadlines

The ДДВ-04 return is filed within 25 days of the end of the tax period. In its own calls and reminders, УЈП names the same date as the deadline for paying the assessed liability.

Rates

The standard rate is 18 %. Alongside it there are two reduced rates, 5 % and 10 %. Food served and non-alcoholic drinks in hospitality venues, and catering services, are taxed at 10 %; alcoholic drinks stay at 18 %, and packaged food to take away goes at 5 %.

The complete lists that fall under each reduced rate are set by the Law on VAT and by a Government decision, and they change — including rates that apply only for a set period. Before applying one, check the item against the current УЈП list linked below.

The rate is the one for the day of the turnover

When turnover is expressed in a foreign currency, VAT is calculated at the middle exchange rate for the day the turnover took place — not the rate on the invoice date, and not the rate on the payment date (Articles 20 and 31 of the Law on VAT).

Common questions

When must a company register for VAT?: When total turnover in a calendar year exceeds 2,000,000 denars. Registration is also required at the start of an activity, if the threshold is expected to be passed.
By when is the ДДВ-04 return filed?: Within 25 days of the end of the tax period — the month or the quarter. УЈП names the same date for the payment as well.
Who may file quarterly?: A taxpayer whose total turnover in the previous calendar year did not exceed 25,000,000 denars.

How Stozher does it

Stozher builds the ДДВ-04 return from the posted documents and supports both the monthly and the quarterly tax period. For turnover in a foreign currency it takes the rate from the exchange-rate list for the day of the turnover.

Related guides

Profit tax: 10 %, the simplified regime and the thresholds

Sources

УЈП — Повластени даночни стапкиread on 15.09.2026
УЈП — ДДВ-04 даночна пријава и упатство („Службен весник" бр. 79/22)read on 15.09.2026

Stozher does not give tax or legal advice. This page states what the rule says and names the source; for a particular case the regulations and УЈП’s announcements are authoritative.