Corporate

Corporate Income Tax

Corporate income tax in Montenegro. Three progressive brackets: 9% up to €100k, 12% up to €1.5M, 15% over €1.5M. Annual and monthly calculations.

Annual + monthly advance payments
9-15% of profit
5 steps

Procedure

A legal entity is required to maintain accounting records in accordance with the Law on Accounting. Financial statements are the basis for determining the tax base.

Accountant / auditorOngoing
Financial statementsGeneral ledger

Required Documents

  • PD form (corporate tax balance)
  • Financial statements (balance sheet, income statement)
  • Cash flow statement
  • Advance payment order

Legal Basis

Competent Institutions

Tax rates (2026)

Annual profitRate
Up to €100,0009%
€100,000 — €1,500,00012%
Over €1,500,00015%

Withholding tax for non-residents

Income typeRate
Dividends9%
Interest9%
Royalties9%
Services9%

Additional notes

Incentives: tax base reduction for new employees, accelerated depreciation for investments, free zone benefits.

The middle bracket of 12% was introduced to ease the transition for medium-sized enterprises.