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Slovak VAT Deduction & VAT Refund for Foreign Companies

Foreign companies registered for VAT in Slovakia often need to determine how Slovak input VAT can be recovered. In practice, there are two main routes:

1. VAT refund procedure
2. Deduction through the Slovak VAT return

The correct method depends on the company's actual activities in Slovakia during the relevant period.

VAT Refund or VAT Return?

A foreign company cannot freely choose whether to recover Slovak VAT through a VAT refund application or through a Slovak VAT return.

As a general rule, if a foreign company meets the conditions for the VAT refund procedure, Slovak input VAT should be recovered through a separate VAT refund application.

When Is VAT Usually Recovered Through a VAT Refund?

The VAT refund procedure is typically used where the foreign company:

  • is not established in Slovakia,
  • does not make taxable supplies of goods or services in Slovakia during the relevant period,
  • or only makes transactions where the Slovak customer accounts for VAT under the reverse-charge mechanism.

In these cases, Slovak VAT charged by suppliers is usually not deducted in the Slovak VAT return, but claimed through the refund procedure.

When Is VAT Deducted Through the Slovak VAT Return?

Slovak input VAT may be deducted through the Slovak VAT return where the foreign company does not meet the conditions for the VAT refund procedure.

This may happen, for example, where the company:

  • makes local supplies in Slovakia and charges Slovak VAT,

  • sells goods in Slovakia to private customers,

  • makes intra-EU supplies of goods from Slovakia,

  • exports goods from Slovakia,

  • acquires goods into Slovakia from another EU Member State,

  • or accounts for Slovak VAT under reverse-charge rules.

In these situations, the company may be required to report the relevant transactions in a Slovak VAT return. Related input VAT can then generally be deducted in that VAT return, provided the normal deduction conditions are met.

Important Practical Point

Slovak VAT deduction is not automatic.

The company must be able to show that the input VAT relates to transactions giving rise to a right of deduction. Proper invoices, transaction records and supporting documents should be available.

Typical Risk Areas

Foreign companies should be careful in particular with:

  • incorrectly choosing between VAT refund and VAT return deduction,

  • deducting VAT without a clear link to taxable or deductible transactions,

  • incorrectly invoiced Slovak VAT,

  • missing evidence for intra-EU supplies of goods,

  • duplicate recovery of the same VAT through both refund and VAT return,

  • artificial transactions created only to obtain a faster VAT deduction.

Each period should be reviewed based on the actual transactions carried out in Slovakia.

How SK VAT Desk Can Help

SK VAT Desk can help foreign companies determine the correct way to recover Slovak VAT.

Our support may include:

  • review of Slovak input VAT invoices,

  • assessment of whether VAT should be recovered through refund or VAT return,

  • preparation of Slovak VAT returns,

  • preparation of VAT refund documentation,

  • review of intra-EU supplies and supporting evidence,

  • communication with the Slovak tax authorities,

  • practical advice on reducing VAT compliance risks.

Need to Recover Slovak VAT?

If your company has paid Slovak VAT or is registered for Slovak VAT in Slovakia, we can review your situation and recommend the correct recovery method.

Contact us and send us a short description of your Slovak transactions.


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