What activities can not perform flat rate taxed entrepreneur in Serbia (preduzetnik pausalac)?

Individual entrepreneur in Serbia has the right to submit a request to pay flat rate tax (hereinafter: flat-rate taxation).

The right to flat-rate taxation cannot be granted to the taxpayer referred to in paragraph 1 of this article:

1) who performs activities in the field of advertising and market research;

2) who performs activities in the fields of: wholesale and retail trade, hotels and restaurants, financial mediation and activities related to real estate;

3) in whose activity other persons also invest;

4) whose total turnover in the year preceding the year for which the tax is determined, i.e. whose planned turnover when the activity begins – is greater than 6,000,000 dinars;

5) who is registered as a value added tax payer in accordance with the law regulating value added tax.

As an exception to the provisions of paragraph 2, point 2) of this article, a taxpayer who carries out trade or hospitality activities in a kiosk, trailer or similar prefabricated or mobile facility may, at his request, be granted the right to pay tax on a flat-rate determined income.

The right to flat-rate taxation in accordance with para. 1. to 3. of this article can be achieved by a taxpayer who manufactures and sells exclusively his own products as part of his activities.

Activities from para. 2. and 3. of this article are determined in accordance with the regulations governing the classification of activities.