Business Taxation – North Macedonia

Single rate of 10% applies to all taxable profit regardless of company size. One of Europe's lowest rates.

Capital gains for companies included in taxable income and taxed at standard 10%. Losses can offset gains.

Residents taxed on worldwide profit. Non-residents only on Macedonian-source income or permanent establishment income.

Withholding tax on dividends paid to non-residents. May be reduced under double taxation treaties.

Withholding tax on interest paid to non-residents. Reduced rates under tax treaties.

Withholding tax on royalties and intellectual property payments to non-residents. Treaty benefits may apply.

Transactions between related parties must comply with arm's length principle. Related parties are those with 25%+ ownership or majority shares.

Large taxpayers must submit documentation annually. Others must maintain documentation and provide upon request within 45 days.