Montenegro Tax Overview

Montenegro tax system at a glance

Montenegro is a euro-using jurisdiction (it uses the euro unilaterally without being in the eurozone) with a calendar tax year and progressive personal and corporate income taxes. Tax is administered by the Tax Administration of Montenegro (Poreska uprava Crne Gore).

• Standard tax year — Calendar year (1 January – 31 December) (Corporate Profit Tax Law (Zakon o porezu na dobit pravnih lica))
• Currency used — Euro (EUR / €) (PwC Worldwide Tax Summaries — Montenegro (Overview))
• National tax authority — Tax Administration of Montenegro (Poreska uprava Crne Gore) (PwC Worldwide Tax Summaries — Montenegro (Overview))
• Residence basis — individuals — Residents taxed on worldwide income; non-residents taxed only on Montenegrin-source income (Personal Income Tax Law (Zakon o porezu na dohodak fizičkih lica))
• Residence basis — companies — Resident companies taxed on worldwide profit; non-residents taxed on Montenegrin-source income / PE profit (Corporate Profit Tax Law (Zakon o porezu na dobit pravnih lica))
• Headline personal income tax rate — Progressive 0% / 9% / 15% (top salary rate 15%) percent (Personal Income Tax Law (Zakon o porezu na dohodak fizičkih lica))
• Headline corporate income tax rate — Progressive 9% / 12% / 15% percent (Corporate Profit Tax Law (Zakon o porezu na dobit pravnih lica))
• Does VAT exist? — Yes — VAT (PDV) applies; standard rate 21% (Value Added Tax Law (Zakon o porezu na dodatu vrijednost))
• Annual CIT return deadline — End of March of the following year (Corporate Profit Tax Law (Zakon o porezu na dobit pravnih lica))
• Annual PIT return deadline — End of April for income earned in the previous calendar year (Personal Income Tax Law (Zakon o porezu na dohodak fizičkih lica))
• VAT return deadline — Monthly, by the 15th of the month following the reporting period (Value Added Tax Law (Zakon o porezu na dodatu vrijednost))