Accounting for foreign companies SK

A Slovak subsidiary of a foreign company faces obligations a purely domestic business never encounters. We keep its books under Slovak law and prepare the reporting so that management in Austria, Germany or Czechia can read it.

Cross-border supplies and VAT

Supplying goods or services to another EU member state has its own regime. We prepare VAT returns, control statements and EC sales lists, verify customer VAT numbers in the VIES system, and make sure every exemption is supported by evidence that will stand up to an audit.

For intra-community acquisitions we apply the reverse charge; in chain transactions we assess who is liable for the tax. This is where most additional assessments arise.

Intra-group cost recharges

The parent company often bears costs that belong to the subsidiary — IT systems, insurance, management. The recharge needs a proper basis and must be recorded correctly, otherwise the tax authority will not accept it as a deductible expense.

For transactions between related parties we also point out the transfer pricing documentation requirement and the extent to which it applies to you.

Reporting for the parent company

Slovak financial statements are structured differently from Austrian or German ones. We prepare a summary that matches what your management is used to: monthly result, receivables and payables, inventory. We can explain the figures and filings in German or Czech.

Payroll under foreign ownership

We handle payroll including situations that arise more often with foreign owners: posted workers, a director holding both an office and an employment contract, remuneration of a director without an employment contract, or an employee resident in another country.

How we start

At the first meeting we go through what the subsidiary actually does and who it trades with. That determines which obligations apply and which do not. The consultation is free and without commitment; we agree the price in advance based on the scope of work.

Questions about this service

Do you communicate in German?

Yes. We can explain documents and reports in German or Czech, and we prepare the overview in a structure that matches what foreign accounting departments are used to.

Do you handle recapitulative statements and VAT ID verification?

Yes. We process recapitulative (summary) statements, verify customers' VAT identification numbers in the VIES system, and make sure the tax exemption has proper documentation to withstand an audit.

What about recharging costs from the parent company?

A recharge needs proper documentation and correct accounting treatment, otherwise the tax authority won't recognise it as a deductible expense. We'll also flag the transfer-pricing obligations involved.

Do you handle payroll for posted/seconded employees?

Yes, including cases where someone is simultaneously a director and an employee, director's remuneration without a contract, and employees resident in another country.