Banks & Finances Slovenia

Among the banks most open to foreigners, the following can be noted:

Nova Ljubljanska Banka: the largest bank in Slovenia, offers a wide range of services for individuals and businesses; known for its openness to foreign clients and provides online banking services in English.

SKB Banka: a subsidiary of the French banking group Société Générale; offers a variety of banking products and services, including accounts for non-residents.

UniCredit Banka Slovenija: part of the international banking group UniCredit; provides services for foreign clients, including online banking in English.

Intesa Sanpaolo Bank: the Slovenian branch of the Italian banking group Intesa Sanpaolo; offers services for foreign citizens and supports English in online banking.

In Slovenia, foreign citizens, including non-residents, have the opportunity to open a bank account.

Required documents

- A valid identity document: passport or identity card.

- Slovenian tax number: can be obtained from the Slovenian tax office by filling out the DR-02 form and providing a copy of the identity document.

- Tax number of the country of permanent residence.

Features for non-residents:

Service restrictions: Some banks may restrict access to certain services for non-residents, such as credit lines or overdrafts.

Fees and charges: Account service conditions for non-residents may vary, so it is recommended to review the fees in advance.

ATMs accepting international bank cards are widely available in Slovenia, allowing foreign citizens to withdraw cash without significant difficulties. However, it is important to keep in mind a few key aspects:

Supported payment systems Visa and MasterCard: Cards of these systems issued by foreign banks are usually accepted in Slovenian ATMs.

UnionPay: Cards of this Chinese payment system are accepted in Slovenia, but their use may be limited. It is recommended to check the possibility of using such cards in specific ATMs in advance.

Commissions and exchange rates

Commissions: When withdrawing cash with a foreign card, fees may be charged by both your home bank and the bank owning the ATM in Slovenia. The fee amount depends on the conditions of your bank and the specific ATM. It is recommended to familiarize yourself with your bank's overseas transaction charges in advance.

Dynamic Currency Conversion (DCC): Some ATMs may offer a choice between withdrawing funds in local currency (euro) or in your card's currency. It is recommended to always choose withdrawal in local currency to avoid additional expenses.

Cash withdrawal limits

Your bank limits: The maximum amount you can withdraw per transaction or per day is determined by your home bank. Check these limits before traveling and request an increase if necessary.

ATM limits: Some Slovenian ATMs may have their own limitations on the amount per transaction. If you need to withdraw a large sum, you may need to make multiple operations.

Finding a suitable ATM

Partner banks: If your bank has partnerships with banks in Slovenia, you may use their ATMs under better conditions or without fees. Check the list of such banks before traveling.

ATM locations: ATMs in Slovenia are widely available in airports, train stations, shopping centers, and city streets. To find the nearest ATM, you can use online maps or mobile applications.

Bank transfers (SWIFT)

Slovenian banks provide international transfer services through the SWIFT system. To make such a transfer, you need:

Recipient details: full name, address, account number (IBAN), and SWIFT/BIC code of the recipient's bank.

Fees and timelines: The fee depends on the specific bank's tariffs and can be fixed or a percentage of the transfer amount. The funds are usually credited within 1 to 5 business days.

Online Money Transfer Services

There are specialized platforms that allow sending money abroad with minimal fees and fast delivery times:

Profee: allows you to transfer money from Slovenia to more than 45 countries, including Russia. Registration is required for sending funds, along with the sender's and recipient's card details and the transfer amount. Fees depend on the amount and direction of the transfer.

TransferGo: offers international transfers with a fixed fee and competitive exchange rates. The service is available in EU countries, North America, Singapore, and Australia.

Money Transfer Systems

Some international systems allow sending money in cash or to bank accounts:

Western Union and MoneyGram: have a wide network of branches worldwide. Fees and terms depend on the transfer amount and destination country.

Cryptocurrency Transfers

For those familiar with digital currencies, funds can be transferred by purchasing cryptocurrency and then selling it in the recipient's country. This method can be fast but requires understanding cryptocurrency exchanges and considering potential risks related to exchange rate volatility.

Depending on your needs and preferences, you can choose the most suitable method to send money from Slovenia to another country, considering fees, terms, and convenience of each method.

Foreign citizens can obtain a loan or mortgage in Slovenia, but the conditions and procedures depend on their status and the type of property being acquired.

Property Acquisition by Foreigners

Citizens of EU and OECD countries: have the right to acquire property in Slovenia under the same conditions as citizens of the country.

Citizens of other countries: can acquire property only through a legal entity registered in Slovenia. At the same time, it is necessary to conduct real business, which can serve as a basis for obtaining a residence permit.

Mortgage Conditions for Foreigners

Down payment: for Slovenian citizens is 15–20% of the property's value, for foreign citizens it is usually higher.

Interest rates: for Slovenian citizens – about 2% per annum; for foreign citizens, rates may be higher and depend on the specific bank and loan conditions.

Loan term: depends on the type of property and the bank's conditions.

Borrower Requirements

Documents: passport, proof of income, credit history, documents on the property being purchased.

Creditworthiness: banks assess the borrower's payment capacity, income stability, and credit history.

Features for Foreign Legal Entities:

Acquisition of commercial property: foreign companies can obtain loans to purchase commercial objects. Banks can finance up to 50% of the cost at the first application and up to 70% at the second. The interest rate – about 2.5% + Euribor.

Recommendations:

Consultation with a lawyer: study the legal nuances and requirements.

Comparison of offers: study the conditions of various banks to choose the optimal option.

Cash Payment Restrictions

For Slovenian citizens: From January 1, 2022, the maximum cash payment for Slovenian citizens is 1,000 euros.

For foreign tourists: Foreign citizens, including EU and European Economic Area citizens, can make cash payments up to 15,000 euros.

However, when purchasing real estate or cars, the amounts usually exceed these limits, so the use of cash in such transactions is limited.

Recommended Methods for Paying Large Purchases

Non-cash bank transfer: The main and most common method of paying for large purchases is a bank transfer. For this, foreign buyers are recommended to open an account in a Slovenian bank, which will simplify the payment process and the documentary execution of the transaction.

Mixed payments: In some cases, combined payment is allowed, where part of the amount is paid in cash, and the rest – by non-cash means. For example, with a total amount of 1,900 euros, you can pay 900 euros in cash and 1,000 euros by card.

Recommendations for Foreign Buyers

Legal consultation: When making large transactions, it is important to consult local lawyers or consultants specializing in working with foreign clients to ensure compliance with all procedures and legal requirements.

Bank deposits

Savings accounts: designed for storing funds with the possibility of replenishment and partial withdrawal. Interest rates on such accounts are usually low but ensure capital preservation.

Term deposits: involve placing funds for a fixed term (from several months to several years) with a pre-agreed interest rate. Early withdrawal of funds may lead to the loss of accrued interest.

Stock investments

Slovenian stock market: offers the opportunity to purchase shares of local companies. The main exchange is the Ljubljana Stock Exchange, where shares of leading Slovenian enterprises are traded.

International markets: through Slovenian or international brokers, investors can acquire shares of foreign companies, expanding their investment portfolio.

Investment funds

Mutual funds: offer diversified portfolios managed by professional managers. Investors purchase fund shares, distributing risks among various assets.

Exchange-traded funds: traded on the exchange similar to stocks and allow investing in a wide range of assets, including stocks, bonds, and commodities.

Real estate

Residential real estate: investments in apartments or houses for subsequent rental or resale. Slovenia, especially its coast, attracts investors due to the steady growth of real estate prices.

Commercial real estate: investing in office buildings, retail spaces, or hotels can provide stable income if properly managed.

Bonds

Government bonds: issued by the Slovenian government and considered a reliable instrument with fixed income.

Corporate bonds: offer higher yields but are associated with higher risk, depending on the financial condition of the issuer.

Pension schemes

Voluntary pension funds: allow accumulating funds for retirement with tax benefits and additional contributions from the employer.

In Slovenia, the tax obligations of foreign nationals depend on their tax status – resident or non-resident – and the type of income received.

Determination of tax residency

Tax resident: A person residing in Slovenia for more than 183 days a year or having the center of vital interests in the country. Tax residents are obliged to pay taxes on all their income, regardless of where it is earned.

Non-resident: A person who does not meet the aforementioned criteria. Non-residents pay taxes only on income earned on the territory of Slovenia.

Personal income tax

Slovenia applies a progressive tax rate:

16% – for annual income up to 8,000 euros.

27% – from 8,000 to 18,960 euros.

41% – from 18,960 to 70,907 euros.

50% – over 70,907 euros.

Social contributions

Employees and employers are required to pay contributions to social insurance funds:

Employer: 16.1% of the gross salary.

Employee: 22.1% of the gross salary.

Value-added tax (VAT)

The standard VAT rate in Slovenia is 22%. A reduced rate of 9.5% applies to certain goods and services, such as food, medicines, and some services.

Property taxes

Property transfer tax: A tax of 2% of the asset's value is charged when purchasing property.

Real estate tax: The rate depends on the type and value of the real estate and ranges from 0.1% to 1.25%.

Corporate income tax

The corporate tax rate in Slovenia is 19%.

Capital gains tax

Income from the sale of property or securities is subject to capital gains tax. The tax rate depends on the holding period of the asset and may range from 0% to 25%.

Double taxation

Slovenia has agreements for the avoidance of double taxation with several countries. This allows avoiding taxation of the same income in two countries. Foreign citizens are advised to familiarize themselves with the provisions of such agreements between Slovenia and their country.

Recommendations for foreign nationals:

Obtaining a tax number: Upon entering Slovenia for work or study, it is necessary to obtain a Slovenian tax number.

Consultation with a tax specialist: Due to the complexity of tax legislation, it is recommended to consult a specialist for the correct execution of tax obligations.

Tax declaration process

For tax residents

Annual tax return: Residents are required to file an annual declaration of income received both in Slovenia and abroad. The filing deadline is usually March 31 of the year following the reporting year.

Advance payments: During the year, residents may be required to make advance income tax payments.

For non-residents

Declaration of income from Slovenian sources: Non-residents are required to declare income received in Slovenia, such as wages, rental income, or dividends.

Filing deadlines: The deadlines for filing declarations for non-residents may vary and depend on the type of income.

eDavki platform: An online service for filing tax returns, paying taxes, and obtaining information about tax obligations.

Features of declaring various types of income

Salaries:

If the employer is a tax agent in Slovenia, they withhold and remit income tax.

If the employer is a foreign company without a representation in Slovenia, the employee is required to submit a tax declaration and pay the tax independently.

Rental income:

Income from renting property in Slovenia is subject to taxation. The tax rate and declaration procedure depend on the type of rental and contractual terms.

Dividends and interest:

Income in the form of dividends and interest received in Slovenia is taxable. The tax rate may depend on international agreements to avoid double taxation.

International agreements and avoiding double taxation

Slovenia has agreements to avoid double taxation with several countries. When declaring income, it is important to take into account the provisions of such agreements and, if necessary, provide supporting documents.

Liability for failure to submit declarations

Failure to submit a tax declaration or providing false information may lead to penalties.

Recommendations

Since tax legislation can be complex and subject to change, it is recommended to consult a professional for up-to-date information and assistance in declaring income.

Keep all documents that confirm received income and paid taxes for possible inspections by tax authorities.

Registration and legal status

Samostojni podjetnik (s.p.): This is the most common form of doing business for individual entrepreneurs in Slovenia. Registration is carried out through the Agency of the Republic of Slovenia for Public Legal Records and Related Services (AJPES).

Tax obligations

Income tax: Income for the self-employed is subject to progressive income tax with a maximum rate of up to 50%. However, there is an option for small businesses to apply a simplified taxation system with fixed rates depending on the level of income.

Value-added tax (VAT): If the annual turnover exceeds 50,000 euros, the self-employed must register as a VAT payer. The standard VAT rate in Slovenia is 22%, and the reduced rate is 9.5%.

Social contributions

Pension and health insurance: The self-employed are required to pay their own pension and health insurance contributions. The amount of contributions depends on the minimum base set by the state and can be adjusted based on income.

Benefits and support

Tax benefits: There are certain tax deductions and benefits for the self-employed, including deductions for investments, training, and professional development expenses.

Government subsidies: Under entrepreneurship support programs, the self-employed may qualify for subsidies for startups, innovative projects, and job creation.

Training and consultations: Government and private organizations offer free or discounted courses, seminars, and consultations on business conduct, taxation, and legal regulation.

Accounting and Reporting

Record-keeping: Self-employed individuals are required to maintain accounting records and submit financial statements to the tax authorities. To simplify the process, they can use the services of professional accountants or specialized software.