Prospera MundiLump-sum sole trade · frequently asked questions
Lump-sum sole trade in Croatia: what you need to know in 2026
Limits, tax, contributions, e-invoices, EU clients and deadlines — explained without assuming that you already understand Croatian forms and abbreviations.
What is a lump-sum sole trade?
It is a simplified way for a natural person to conduct a registered activity. Tax is based on a prescribed receipts band rather than actual profit, and the main record is the turnover book (KPR). It is available while annual receipts remain within €60,000 and the person is outside the VAT system.
What happens at the €60,000 limit?
The lump-sum receipts limit and the VAT-entry threshold use the same amount but measure different things: one follows collected receipts and the other taxable supplies. If the applicable limit is crossed, the next regime must be determined and prepared in time.
How much lump-sum tax is paid?
The tax is 12% of the prescribed annual lump-sum income and is paid quarterly. The annual tax therefore ranges by receipts band; for the highest 2026 band the prescribed base is €9,000.00 and the calculated annual tax is €1,080.00 calculation: €9,000.00 × 12%.
What are the monthly contributions if this is my main activity?
The 2026 monthly base is €797.20. Contributions total €290.98 calculation from the prescribed base and rates per month and are due by the 15th for the preceding month, regardless of whether you collected any revenue.
Can I have it alongside employment?
Yes. It is then treated as a second activity: contributions are assessed annually after the PO-SD filing, using the prescribed lower rates, while lump-sum income tax remains payable quarterly.
Do I need to receive and issue e-invoices?
From 1 January 2026, business entities including lump-sum sole trades outside VAT must be able to receive an e-invoice. Their B2B e-invoice issuing obligation begins on 1 January 2027. Fiscalisation of consumer invoices continues under the applicable rules.
I work with EU clients. Do I need a VAT ID?
A Croatian VAT identification number may be required before the first cross-border B2B service supplied to or received from another EU member state. Obtaining that number does not by itself put domestic sales into the regular VAT system, but it creates specific reporting and reverse-charge obligations.
Which records and dates do I track?
- KPR turnover book — continuously
- PO-SD — by 15 January for the preceding year
- Lump-sum tax — quarterly
- Contributions — monthly for a main activity, or annually by assessment for a second activity
- The €60,000 threshold — throughout the year, not only in December
When does the regime stop being a good fit?
When receipts approach the limit, real costs become substantial, VAT becomes relevant, or employment and growth are planned. At that point we compare the lump-sum model with an income-tax sole trade and a d.o.o. using your actual numbers.
Why owners still use an accountant
Do I legally need an accountant?
Not necessarily. The value is not in adding up invoices; it is in knowing which invoice format, fiscalisation, EU transaction, form or threshold applies before a procedural error becomes expensive.
“The invoice is correct.” · “No additional form is due.” · “This can be corrected.” · “You have not missed the threshold.” · “This is your next step.”
A simple regime should feel simple in day-to-day work. Our role is to keep it that way.
How it works with us in practice
Document flow from day one
We help establish a practical bank and document flow so statements and source documents reach the accounting process with little manual forwarding.
Your Minimax account
You issue invoices, receive and approve e-invoices and retain visibility of the records used for your business.
Tax-office communication
Fiscalisation, EU and third-country invoices and unclear filing situations are handled through an agreed process rather than improvised from social-media advice.
Recurring package for a minimal-scope lump-sum sole trade: €100/month. Check your indicative fee.
Is the lump-sum regime still right for you?
We compare the relevant options for your actual activity and take over the agreed procedures, so your time goes into earning revenue rather than interpreting forms.
Request an assessmentThis page is informational, reflects the legislation checked on 29 July 2026 and is not individual tax advice.