Croatia's proposed tax changes for craftsmen spark debate

The Accounting Section of the Croatian Chamber of Crafts released an online calculator to estimate taxes and contributions for self‑employed craftsmen in 2027. The tool incorporates projected contribution bases and new tax rates under public consultation, showing that more than 77,000 flat‑rate craftsmen will face no increase, while other categories see softened burdens. President Dalibor Kratohvil said the calculator reveals the net amount that remains after all payments, helping craftsmen choose the most favourable business model.

The business association Udruga Glas poduzetnika (UGP) issued a press release objecting to the government's draft amendments to the Income Tax Act. UGP warns that the proposals would raise taxes for craftsmen earning over €40,000, arguing the measures could increase operating costs, be passed on to consumers, and undermine inflation‑reduction goals. While supporting some elements such as pension tax relief and a new investment account, the association calls for revisions to the provisions affecting flat‑rate craftsmen and is participating in the e‑consultation process.