Slovakia has too many fictitious sole entrepreneurs
A very favorable tax regime since 2017 has led to a rise in the number of fictitious sole entrepreneurs who pay minimal payroll levies and will receive the minimum pension, the supreme audit office NKÚ warned. The system is unfair to employees and the state budget and the government should change the respective legislation, says NKÚ. It also recommended introducing checks on sole entrepreneurs to verify whether they should use a job contract instead.
Sole entrepreneurs are allowed to claim 60% of their income as expenses and the cap is set at €20,000 per year.
