Montenegro Payroll

Employment-income PIT bands (2025) — applied to GROSS monthly salary

| Band | Monthly gross salary | Marginal rate | |---|---|---| | 1 | EUR 0.00 – 700.00 | 0% | | 2 | EUR 700.01 – 1,000.00 | 9% | | 3 | over EUR 1,000.01 | 15% |PwC — Taxes on personal income; Eurofast Tax Card 2025 p.3

Marginal band application

The bands are marginal: only the slice of gross within each band is taxed at that band's rate. The 0% band IS the tax-free allowance — there is no separate personal allowance applied on top.PwC — Taxes on personal income; Eurofast Tax Card 2025 p.3

Monthly withholding steps

1. Start with gross monthly salary (bruto plata). 2. Compute PIT by applying each marginal band to the slice of gross within it: 0% on the portion up to EUR 700.00; 9% on the portion from EUR 700.01 to EUR 1,000.00 (max EUR 27.00 in this band — verify: 300 × 9% = 27.00 ✓); 15% on the portion above EUR 1,000.01. 3. Compute the municipal surtax (prirez) = surtax rate × assessed PIT (NOT × income) — see below. 4. Total tax withheld = PIT + surtax. 5. Separately withhold employee social contributions at 10.5% of gross (Section 3). 6. Net pay = gross − employee social contributions − PIT − surtax.PwC; Eurofast 2025

Municipal surtax (prirez) on assessed PIT

| Location | Surtax rate (× assessed PIT) | |---|---| | Podgorica and Cetinje | 15% | | All other municipalities (national default) | 13% |PwC — Taxes on personal income

Surtax range source conflict

Eurofast states a wider 10%–15% range depending on municipality (Eurofast 2025 p.10); the specific municipality's by-law governs. [T2-1 — reviewer to confirm the exact surtax rate for the employee's municipality of residence.] The surtax is charged on the assessed PIT amount, not on the income.Eurofast 2025 p.10

Other personal-income rates (context — not employment payroll)

| Income type | Rate | Note | |---|---|---| | Self-employment / entrepreneurial (annual, marginal) | 0% to EUR 8,400; 9% EUR 8,400.01–12,000; 15% above EUR 12,000.01 | Annual entrepreneurial income — out of scope for employer payroll (PwC) | | Capital gains, rental, interest, dividends, royalties | 15% flat | Not employment income (PwC; Eurofast 2025) |

Employee contributions table

| Contribution | Employee rate | Base | Authority | Note | |---|---|---|---|---| | Pension and Disability Insurance (PIO) | 10.0% | Gross salary (capped — see ceiling) | Fond PIO | Cut from 15% to 10% on 1 Oct 2024 (KPMG) | | Unemployment insurance | 0.5% | Gross salary | Revenue & Customs Admin | (Eurofast 2025 p.4; PwC) | | Health insurance | 0.0% | — | — | Mandatory employee health contribution abolished (Eurofast 2025 p.4 — Health Fund 0.0%) | | **Total employee contributions** | **10.5%** | Gross | — | 10.0% + 0.5% + 0.0% — verify: 10.0 + 0.5 = 10.5 ✓ |PwC — Other taxes; KPMG Oct 2024 Tax Alert; Eurofast 2025 p.4

PIO contribution base ceiling

| Cap | Amount | Year | Note | |---|---|---|---| | Annual PIO contribution base ceiling | EUR 68,765 | 2024 published figure (reset annually) | PwC — Other taxes | | Implied monthly PIO base cap | EUR 5,730.42 | derived | = 68,765 ÷ 12 (verify: 68,765 / 12 = 5,730.4166… ≈ 5,730.42) |PwC — Other taxes

Employer contributions table

| Contribution | Employer rate | Base | Note | |---|---|---|---| | Unemployment insurance | 0.5% | Gross salary | Matches the 0.5% employee unemployment line (Eurofast 2025 p.4) | | Labour Fund (Fond rada) | 0.2% | Gross salary | Employer-only (Eurofast 2025 p.4) | | Chamber of Commerce membership contribution | 0.27% | Gross salary | Employer-only (Eurofast 2025 p.4) | | Prevention of Disability Fund | 0.2% | Gross salary | Employer-only (Eurofast 2025 p.4) | | Pension and Disability Insurance (PIO) | 0.0% | — | Employer share cut from 5.5% to 0% on 1 Oct 2024 (KPMG) | | Health insurance | 0.0% | — | Abolished (Eurofast 2025 p.4 — Health Fund 0.0%) | | **Total employer contributions** | **1.17%** | Gross | 0.5% + 0.2% + 0.27% + 0.2% — verify: 0.5 + 0.2 + 0.27 + 0.2 = 1.17 ✓ |Eurofast 2025 p.4 itemised; KPMG Oct 2024 Tax Alert

Total employer cost formula

Total employer cost = gross salary + (1.17% × gross) = gross × 1.0117.Derived from Eurofast itemised rates + KPMG reform

Combined wage wedge

| Component | Rate | |---|---| | Employee social contributions | 10.5% | | Employer social contributions | 1.17% | | **Combined social-contribution wedge** | **11.67%** (verify: 10.5 + 1.17 = 11.67 ✓) |

National minimum wage (from 1 October 2024) — dual NET tier

| Qualification tier | Net monthly minimum | |---|---| | Jobs requiring up to a high-school diploma | EUR 600 net | | Jobs requiring higher qualifications | EUR 800 net |KPMG Oct 2024 Tax Alert; Karanovic & Partners

Dual net wage structure

The Europe Now 2.0 reform replaced a single minimum with this dual NET-wage structure tied to the qualification level of the job.KPMG Oct 2024 Tax Alert; Karanovic & Partners

Conservative default policy

When an input is unknown, the skill MUST apply the conservative default below and flag the assumption in its output rather than guessing a more favourable figure.

Conservative defaults table

| Field | Default | Rationale | |---|---|---| | Employee social-contribution rate | **10.5% of gross** (PIO 10% + unemployment 0.5%; health 0%) | Confirmed by PwC, KPMG (Oct 2024 reform) and Eurofast itemised table; use itemised figures, NOT Eurofast's printed 15.5% total. | | Employer social-contribution rate | **1.17% of gross** (unemployment 0.5% + Labour Fund 0.2% + Chamber 0.27% + Prevention of Disability 0.2%; PIO and health 0%) | Itemised from Eurofast 2025 card; the card's printed 6.47% total is a stale pre-reform aggregate. | | Municipal surtax | **13% of assessed PIT** (15% if the employee resides in Podgorica or Cetinje) | PwC; surtax is on the PIT amount, not on income. Use the employee's municipality of residence. (Eurofast cites a 10–15% range.) | | PIO base ceiling | **EUR 68,765/yr → ~EUR 5,730.42/month** (apply the cap to the PIO base only) | PwC 2024 figure; reset annually — flag for reviewer confirmation. **[RESEARCH GAP]** | | Unemployment-contribution base | **Full gross (uncapped)** | The PIO ceiling's application to unemployment is unconfirmed; applying to full gross is the conservative assumption. **[T2-2]** | | PIT base | **Gross salary (no deduction of contributions before PIT)** | Montenegro applies PIT bands directly to gross. (PwC) | | Monthly filing | **File IOPPD and remit PIT + surtax + contributions by the 15th of the following month** | Eurofast tax calendar + payroll guides + Perfectum. |

Required inputs list

1. Gross monthly salary (bruto plata) in EUR. 2. Employee's municipality of residence — to select the correct surtax rate (15% Podgorica/Cetinje vs 13% default). If unknown, default to 13% and flag it. 3. Pay period (month and year) — to pick the correct minimum wage, PIO ceiling and band figures, and to confirm the post-1-Oct-2024 reform applies. 4. Whether the employee's gross exceeds the monthly PIO base cap (~EUR 5,730.42) — triggers the contribution ceiling. 5. The qualification tier of the job — to check against the dual-tier minimum wage (EUR 600 / EUR 800 net).

Refusal Catalogue table

| Scenario | Why it is out of scope | |---|---| | Posted workers / A1-equivalent / cross-border social-security coordination | Requires bilateral social-security agreement analysis and Fond PIO determinations — see `cross-border-payroll-coordination`. | | Non-resident employees, double-tax-treaty relief, expat tax-equalisation | Treaty residency and tie-breaker analysis is beyond a domestic payroll run. | | Withholding tax on payments to non-residents (dividends, interest, royalties, services) | 15% (30% for low-tax jurisdictions), reducible by treaty — out of scope for employee payroll (Eurofast 2025 p.7). | | Benefits in kind / company cars / stock options valuation | Montenegrin BIK valuation rules were not in this research dataset. **[RESEARCH GAP]** | | Self-employed / entrepreneurial income (annual 0/9/15% bands) | Different regime — out of scope for employer payroll. | | Sickness, maternity and disability benefit reimbursement mechanics | Not covered here. | | Severance / termination payment taxation | Not in scope; route to a reviewer. | | Exact penalty quantification per offence | Penalty ranges are statutory bands (Section 13); apply judgement and confirm the specific charge with the Tax Administration. |

Salary credits table

| Bank statement text (ME / EN) | Classification | |---|---| | `PLATA`, `ZARADA`, `NETO PLATA`, `ISPLATA ZARADE` | Net salary payment | | `PLACA`, `SALARY`, `WAGES` | Net salary payment (ASCII / English variant) | | `AKONTACIJA ZARADE`, `AVANS` | Salary advance (not final pay) | | `NAKNADA`, `TOPLI OBROK`, `REGRES` | Allowance / meal / holiday allowance (check taxability) | | `DNEVNICA` | Per-diem / travel allowance (may be tax-exempt up to limits) | | `POVRAĆAJ POREZA` | Income tax refund — NOT income |

Employer debits table

| Bank statement text (ME / EN) | Classification | |---|---| | `POREZ NA DOHODAK`, `UPRAVA PRIHODA`, `UPiC` | Personal income tax (and surtax) remittance to the Revenue & Customs Administration | | `PRIREZ` | Municipal surtax remittance | | `DOPRINOS PIO`, `PENZIJSKO`, `FOND PIO` | Pension & Disability (PIO) contribution remittance | | `DOPRINOS NEZAPOSLENOST`, `OSIGURANJE NEZAPOSLENOSTI` | Unemployment-insurance contribution remittance | | `FOND RADA`, `KOMORA`, `FOND ZA INVALIDE` | Labour Fund / Chamber of Commerce / Prevention-of-Disability remittances (employer-only) | | `IOPPD` | Reference tag for an IOPPD-linked payment batch | | `ISPLATA ZARADA`, `PAYROLL`, `OBRAČUN ZARADE` | Net wages disbursed to employees |

Example 1 computation table

| Step | Computation | EUR | |---|---|---| | Gross salary | — | 800.00 | | PIT — band 1 (0% on first 700) | 700 × 0% | 0.00 | | PIT — band 2 (9% on 700.01–800) | (800 − 700) × 9% | 9.00 | | Total PIT | 0 + 9.00 | 9.00 | | Municipal surtax (13% of PIT) | 9.00 × 13% | 1.17 | | Employee contributions (10.5% of 800) | PIO 10% (80.00) + unemployment 0.5% (4.00) | 84.00 | | **Net pay** | 800 − 84.00 − 9.00 − 1.17 | **705.83** | | Employer contributions (1.17% of 800) | on top of gross | 9.36 | | **Total employer cost** | 800 + 9.36 | **809.36** |

Example 2 computation table

| Step | Computation | EUR | |---|---|---| | Gross salary | — | 1,500.00 | | PIT — band 1 (0% on first 700) | 700 × 0% | 0.00 | | PIT — band 2 (9% on 700.01–1,000) | 300 × 9% | 27.00 | | PIT — band 3 (15% on 1,000.01–1,500) | 500 × 15% | 75.00 | | Total PIT | 0 + 27.00 + 75.00 | 102.00 | | Municipal surtax (15% Podgorica) | 102.00 × 15% | 15.30 | | Employee contributions (10.5% of 1,500) | — | 157.50 | | **Net pay** | 1,500 − 157.50 − 102.00 − 15.30 | **1,225.20** | | Employer contributions (1.17% of 1,500) | on top | 17.55 | | **Total employer cost** | 1,500 + 17.55 | **1,517.55** |

Example 3 computation table

| Step | Computation | EUR | |---|---|---| | Gross salary | — | 700.00 | | PIT — band 1 (0% on first 700) | 700 × 0% | 0.00 | | Total PIT | — | 0.00 | | Municipal surtax (13% of 0) | 0 × 13% | 0.00 | | Employee contributions (10.5% of 700) | — | 73.50 | | **Net pay** | 700 − 73.50 − 0 | **626.50** | | Employer contributions (1.17% of 700) | on top | 8.19 | | **Total employer cost** | 700 + 8.19 | **708.19** |

Example 4 computation table

| Step | Computation | EUR | |---|---|---| | Gross salary | — | 1,000.00 | | PIT — band 1 (0% on first 700) | 700 × 0% | 0.00 | | PIT — band 2 (9% on 700.01–1,000) | 300 × 9% | 27.00 | | Total PIT | 0 + 27.00 | 27.00 | | Municipal surtax (13% of PIT) | 27.00 × 13% | 3.51 | | Employee contributions (10.5% of 1,000) | — | 105.00 | | **Net pay** | 1,000 − 105.00 − 27.00 − 3.51 | **864.49** | | Employer contributions (1.17% of 1,000) | on top | 11.70 | | **Total employer cost** | 1,000 + 11.70 | **1,011.70** |

Example 5 computation table

| Step | Computation | EUR | |---|---|---| | Gross salary | — | 3,000.00 | | PIT — band 1 (0% on first 700) | 700 × 0% | 0.00 | | PIT — band 2 (9% on 700.01–1,000) | 300 × 9% | 27.00 | | PIT — band 3 (15% on 1,000.01–3,000) | 2,000 × 15% | 300.00 | | Total PIT | 0 + 27.00 + 300.00 | 327.00 | | Municipal surtax (13% of PIT) | 327.00 × 13% | 42.51 | | Employee contributions (10.5% of 3,000) | gross below the monthly PIO cap (~5,730.42) | 315.00 | | **Net pay** | 3,000 − 315.00 − 327.00 − 42.51 | **2,315.49** | | Employer contributions (1.17% of 3,000) | on top | 35.10 | | **Total employer cost** | 3,000 + 35.10 | **3,035.10** |

Example 6 computation table

| Step | Computation | EUR | |---|---|---| | Gross salary | — | 6,000.00 | | PIT — band 1 (0% on first 700) | 700 × 0% | 0.00 | | PIT — band 2 (9% on 700.01–1,000) | 300 × 9% | 27.00 | | PIT — band 3 (15% on 1,000.01–6,000) | 5,000 × 15% | 750.00 | | Total PIT | 0 + 27.00 + 750.00 | 777.00 | | Municipal surtax (15% Podgorica) | 777.00 × 15% | 116.55 | | PIO base after cap | min(6,000, 5,730.42) | 5,730.42 | | PIO contribution (10% of capped base) | 5,730.42 × 10% | 573.04 | | Unemployment (0.5% of full gross) | 6,000 × 0.5% — applied to full gross **[T2-2]** | 30.00 | | Total employee contributions | 573.04 + 30.00 | 603.04 | | **Net pay** | 6,000 − 603.04 − 777.00 − 116.55 | **4,503.41** | | Employer contributions (1.17% of 6,000) | on top | 70.20 | | **Total employer cost** | 6,000 + 70.20 | **6,070.20** |

Tax year

Tax year = calendar year (1 Jan – 31 Dec).PwC — Tax administration

Employment-income PIT bands (marginal, on gross monthly salary)

0% up to EUR 700.00, 9% on EUR 700.01–1,000.00, 15% above EUR 1,000.01. Social contributions are NOT deducted before computing PIT.PwC; Eurofast 2025 p.3

0% band nature

The 0% band is the tax-free allowance — there is no separate personal allowance.PwC

Municipal surtax (prirez)

Charged on the assessed PIT amount: 13% nationwide, 15% in Podgorica and Cetinje. Eurofast cites a 10–15% municipal range. [T2-1]PwC

Employee social contributions total

10.5% of gross: PIO 10.0% + unemployment 0.5% + health 0.0%PwC; KPMG; Eurofast 2025 p.4

Employer social contributions total

~1.17% of gross: unemployment 0.5% + Labour Fund 0.2% + Chamber of Commerce 0.27% + Prevention of Disability Fund 0.2%; PIO and health both 0%Eurofast 2025 p.4 itemised; KPMG

Europe Now 2.0 reform

The "Europe Now 2.0" reform (1 Oct 2024) cut PIO from 20.5% to 10% total (employer 5.5%→0%, employee 15%→10%) and confirmed health at 0%/0%.KPMG Oct 2024 Tax Alert

Stale totals prohibition

Do NOT use Eurofast's printed column totals (15.5% employee / 6.47% employer) — they are stale pre-reform aggregates. Use the itemised rows (10.5% / 1.17%).KPMG; PwC

PIO contribution base cap

EUR 68,765/yr (2024 published; ≈ EUR 5,730.42/month). The ceiling resets annually.PwC [RESEARCH GAP — confirm current-year cap.]

Total employer cost

Total employer cost = gross × 1.0117 (gross + 1.17% contributions). PIT and surtax are withheld from the employee, not added to employer cost.

Net pay

Net pay = gross − employee contributions (10.5%) − PIT − surtax. Each is computed independently on its own base.PwC; Eurofast

IOPPD filing/remittance

Employers file the integrated monthly IOPPD return and remit PIT + surtax + all contributions simultaneously, due by the 15th of the following month.Eurofast tax calendar; Perfectum; payroll guides

Annual PIT return deadline

Annual PIT return due 30 April; single-employer employees with only employment income need not file.Eurofast 2025 p.10; PwC

Minimum wage (dual net tier) from 1 Oct 2024

EUR 600 net (jobs up to high-school qualification) and EUR 800 net (higher qualification).KPMG; Karanovic & Partners [RESEARCH GAP — current gross-up unconfirmed.]

Currency

Montenegro uses EUR only.

Tier 2 Catalogue (reviewer judgement required)

| Ref | Issue | What the reviewer must resolve | |---|---|---| | **[T2-1]** | Exact municipal surtax rate | PwC states 13% (15% Podgorica/Cetinje); Eurofast states a 10–15% range by municipality. Confirm the specific municipality's surtax by-law. | | **[T2-2]** | Unemployment-contribution base vs the PIO ceiling | Whether the 0.5% unemployment contribution is subject to the PIO base ceiling or applies to uncapped gross is unconfirmed; this skill applies it to full gross. Confirm with the Tax Administration. | | **[T2-3]** | Post-reform contribution totals vs Eurofast printed totals | Eurofast prints 15.5% / 6.47% (pre-reform); itemised rows give 10.5% / 1.17% (post-reform, per PwC/KPMG). Confirm against the consolidated Law on Mandatory Social Security Contributions in the Official Gazette. | | **[T2-4]** | Current-year PIO base ceiling | PwC publishes EUR 68,765 (2024); TaxRavens cites ~EUR 54,533. Confirm the current-year cap with Fond PIO / the Official Gazette. **[RESEARCH GAP]** | | **[T2-5]** | Minimum wage gross/net and tier structure | EUR 600/EUR 800 net (KPMG) vs ~EUR 670 net / ~EUR 700 gross single figure (trackers). Confirm with the Ministry of Labour. **[RESEARCH GAP]** | | **[T2-6]** | Overtime / night / holiday premiums and maximum hours | Not in this research dataset — confirm from the Labour Law (Zakon o radu) and any collective agreement. **[RESEARCH GAP]** | | **[T2-7]** | Benefits in kind, severance, per-diem/travel-allowance tax limits | Not in this research dataset — reviewer to populate. **[RESEARCH GAP]** | | **[T2-8]** | IOPPD exact form code/version and submission channel | Corroborated by Eurofast calendar + Perfectum + payroll guides; confirm the current form code/version on the Tax Administration portal. |Section 11

Monthly — IOPPD

| Form | Purpose | Deadline | |---|---|---| | **IOPPD (Obrazac IOPPD)** | Integrated monthly return of calculated and paid personal income tax (and surtax) and mandatory social security contributions on salaries; filed online (or in person) to the Revenue and Customs Administration. There is no separate contributions report — IOPPD covers PIT and all contributions. | By the 15th of the month following the reporting month; tax and contributions are paid simultaneously with filing. (Eurofast 2025 p.10 tax calendar; Perfectum; payroll guides) **[T2-8 — confirm exact form code/version.]** | | Payment of PIT + surtax + contributions | Remittance of withheld amounts | Same as IOPPD (15th of the following month). (Eurofast 2025 p.10) |Eurofast 2025 p.10; Perfectum

Annual and other returns (employer-entity context)

| Form | Purpose | Deadline | |---|---|---| | Annual personal income tax return (GPP-FL / godišnja prijava) | Annual PIT reconciliation. Individuals with only single-employer employment income are NOT obliged to file. | 30 April for the previous year. (Eurofast 2025 p.10; PwC — Tax administration) | | Withholding tax on dividends/distributions | Declaration and payment of dividend-distribution withholding | 28 February for the previous year. (Eurofast 2025 p.10) | | Annual corporate income tax return | CIT return (employer entity) | 31 March for the previous year. (Eurofast 2025 p.10) | | VAT return | Declaration and payment of VAT | 15th of the following month. (Eurofast 2025 p.10) |Eurofast 2025 p.10

Corporate income tax (employer-entity context)

Progressive: 9% up to EUR 100,000 taxable profit, 12% to EUR 1,500,000, 15% above.Eurofast 2025 p.5

VAT rates and registration threshold

Standard 21%, reduced 7% and 15%, zero 0%; registration threshold EUR 30,000 turnover in a 12-month period.Eurofast 2025 p.8

Penalties table

| Area | Trigger | Fine band | |---|---|---| | Personal Income Tax Law | Failure to submit the annual PIT return within the legal deadline; late or incorrect payment; other related offences | EUR 2,000 – EUR 10,000 (Eurofast 2025 p.10) | | Corporate Income Tax / withholding | Late submission of a withholding or CIT return; late payment of CIT or withholding; other related offence | EUR 550 – EUR 16,500 (Eurofast 2025 p.10) | | VAT | Failure to register; failure to submit a VAT return; fiscalisation / other VAT offences | EUR 3,000 – EUR 40,000 (Eurofast 2025 p.10) |Eurofast 2025 p.10

Excel Working Paper Template columns

| Col | Heading | Type | Formula / source | |---|---|---|---| | A | Employee name | Input | — | | B | JMBG / tax ID | Input | personal identification number | | C | Municipality of residence | Input | drives surtax rate (15% Podgorica/Cetinje, else 13%) | | D | Gross salary (EUR) | Input | bruto plata | | E | PIT — band 1 (0%) | Computed | `0` (on `MIN(D,700)`) | | F | PIT — band 2 (9%) | Computed | `MAX(MIN(D,1000)-700,0) * 9%` | | G | PIT — band 3 (15%) | Computed | `MAX(D-1000,0) * 15%` | | H | Total PIT | Computed | `E + F + G` | | I | Surtax rate | Input | `0.15` if Podgorica/Cetinje else `0.13` | | J | Municipal surtax | Computed | `H * I` | | K | PIO base (capped) | Computed | `MIN(D, 5730.42)` (2024 cap — confirm current year) | | L | PIO contribution (10%) | Computed | `K * 10%` | | M | Unemployment (0.5%) | Computed | `D * 0.5%` (full gross — see [T2-2]) | | N | Total employee contributions | Computed | `L + M` | | O | Net pay | Computed | `D - N - H - J` | | P | Employer contributions (1.17%) | Computed | `D * 1.17%` | | Q | Total employer cost | Computed | `D + P` |Section 14

Terminology Reading Guide

| Montenegrin term | English | Relevance | |---|---|---| | Bruto plata / bruto zarada | Gross salary | Starting figure for all computations | | Neto plata / neto zarada | Net salary | What the employee receives | | Porez na dohodak fizičkih lica | Personal income tax | Withheld monthly on gross | | Prirez | Municipal surtax | 13% (15% Podgorica/Cetinje) of assessed PIT | | Doprinosi | Contributions | PIO + unemployment (employee); residual (employer) | | Penziono i invalidsko osiguranje (PIO) | Pension & disability insurance | 10% employee, 0% employer | | Osiguranje od nezaposlenosti | Unemployment insurance | 0.5% employee + 0.5% employer | | Zdravstveno osiguranje | Health insurance | 0% / 0% — abolished | | Fond rada | Labour Fund | 0.2% employer-only | | Privredna komora | Chamber of Commerce | 0.27% employer-only membership contribution | | Fond za profesionalnu rehabilitaciju / invalide | Prevention of Disability Fund | 0.2% employer-only | | Fond PIO | Fund for Pension and Disability Insurance | Receives PIO contributions | | Uprava prihoda i carina | Revenue and Customs Administration | Receives PIT, surtax and contributions | | IOPPD | Integrated monthly payroll return | PIT + surtax + all contributions in one filing | | Evropa sad 2 | "Europe Now 2.0" | The 1 Oct 2024 reform package | | Minimalna zarada | Minimum wage | EUR 600 / EUR 800 net (dual tier) | | JMBG | Unique personal identification number | Required for every employee |Section 15

Interaction with Other Skills

| Scenario | Skill to use | |---|---| | Employee payroll (PIT + surtax + contributions) | **This skill (montenegro-payroll.md)** | | Montenegro personal income tax (annual / self-employment) | montenegro-income-tax.md | | Montenegro social contributions (detailed contribution mechanics) | montenegro-social-contributions.md | | Cross-border / posted workers / treaty coordination | cross-border-payroll-coordination.md | | Montenegro VAT (PDV) returns | montenegro-vat.md | | Shared workflow runbook | payroll-workflow-base.md |Section 17

Reference Material

| # | Source | Publisher | URL | |---|---|---|---| | 1 | Montenegro — Individual — Taxes on personal income (PIT bands 0/9/15%, 15% other income, 13%/15% surtax) | PwC Worldwide Tax Summaries | https://taxsummaries.pwc.com/montenegro/individual/taxes-on-personal-income | | 2 | Montenegro — Individual — Other taxes (PIO 10% employee, unemployment 0.5%/0.5%, PIO annual cap EUR 68,765) | PwC Worldwide Tax Summaries | https://taxsummaries.pwc.com/montenegro/individual/other-taxes | | 3 | Montenegro — Corporate — Other taxes / Taxes on corporate income (VAT 21/15/7/0%; CIT context) | PwC Worldwide Tax Summaries | https://taxsummaries.pwc.com/montenegro/corporate/other-taxes | | 4 | Montenegro Tax Card 2025 (itemised SSC table, PIT bands, CIT 9/12/15%, VAT, tax calendar, penalties) | Eurofast | https://eurofast.eu/wp-content/uploads/2025/02/MontenegroTaxCard2025.pdf | | 5 | Amendments to the Montenegrin Labor Law and Law on Mandatory Social Security Contributions — Oct 2024 Tax Alert (PIO 20.5%→10%; min wage EUR 600/EUR 800 net; effective 1 Oct 2024) | KPMG Montenegro | https://assets.kpmg.com/content/dam/kpmg/me/pdf/2024/10/Amendments-to-the-Montenegrin-Labor-Law-and-Law-on-Mandatory-Social-Security-Contributions.pdf | | 6 | Recent Changes in the Montenegrin Labour Regulations (Europe Now 2; dual-tier minimum wage; Oct 2024 contributions) | Karanovic & Partners | https://www.karanovicpartners.com/news/recent-changes-in-the-montenegrin-labour-regulations/ | | 7 | Social Security Contributions – Montenegro (employee 10.5%, employer 0% + Labour Fund 0.2%; conflicting PIO cap ~EUR 54,533) | TaxRavens | https://taxravens.com/en/montenegro/social-contributions | | 8 | IOPPD Form (integrated monthly PIT + contributions report) | Perfectum | https://www.perfectum.me/en/important-documents/ioppd-form/ |Section 18