October 6, 2025
TAX TREATMENT OF GIFTS
1. Gifts for the Recipient
1.1. Individuals (ZDoh-2):
- Non-taxable gifts:
- if received by an individual from another individual (who is not the employer or a related party),
- if not related to business activity.
- Taxable gifts:
- gifts from employer or in connection with employment → treated as fringe benefit (employment income),
- gifts related to business activity → treated as business income,
- gifts that are not employment/business income may qualify as other income (if they exceed €42 individually or €84 annually from the same donor).
Exceptions:
- December gift to employee’s child up to 15 years old → non-taxable up to €42,
- fringe benefits up to €15 monthly → not included in tax base.
1.2. International Aspect
If a gift is received by a Slovenian resident from abroad, it is generally taxable only in Slovenia, in accordance with double taxation treaties. Non-residents may claim exemptions under these treaties.
1.3. Inheritance and Gift Tax (ZDDD)
- Subject to tax: real estate, movable property (including cash, securities), property rights, if the gift is not considered income under ZDoh-2.
- Rules for individuals:
- gift of movable property is not taxable if the total value does not exceed €5,000,
- for real estate or higher-value gifts, a tax return must be filed within 15 days,
- gifts within 12 months from the same donor are aggregated,
- gifts between spouses, children, stepchildren, sons-in-law/daughters-in-law, and registered partners are exempt.
- Rules for private legal entities:
- same as for individuals,
- institutions operating in the public interest (religious, charitable, cultural, educational, etc.) are exempt if the gift is intended for their activities.
2. Gifts for the Donor
2.1. Individuals
- Generally have no tax obligations.
- Exception: if capital is gifted (real estate, shares, securities), income tax on capital gains may be assessed, unless the gift is to a spouse or child (deferral possible).
2.2. Legal Entities and Entrepreneurs
- Donations: tax non-deductible expense, but tax relief may be claimed.
- Gifts to business partners: treated as representation expense, 50% deductible.
- Gifts to employees: treated as fringe benefits → taxed as employment income, expense deductible only if taxed under ZDoh-2.
- exception: December gift to employees’ children up to €42 → fully deductible expense.
- Gifts to owners: treated as profit distribution.
- Transfer to household for sole proprietors: treated as taxable disposal.
2.3. VAT on Gifts
- Supply of goods includes free disposal of goods if VAT deduction was claimed upon acquisition.
- Exceptions (no VAT):
- business samples in reasonable quantities,
- gifts of minor value (up to €20, occasional, not to the same persons, without consideration).
- For proper accounting, it is recommended to maintain a gift register.
Key thresholds:
- €15 (monthly non-taxable fringe benefit),
- €20 (gifts of minor value – VAT),
- €42 (gift to employee’s child),
- €42 / €84 (other income – threshold for individuals),
- €5,000 (gift of movable property under ZDDD).
Source: I Received a Gift | FINANCIAL ADMINISTRATION OF THE REPUBLIC OF SLOVENIA