The Ministry of Finance of Serbia has adopted the 'rulebook' on arm's-length interest rates for 2018 (Official Gazette of the Republic of Serbia, No 18/18). The new rulebook applies when determining corporate income tax in 2018, while when determining the income tax for 2017, the interest rates to be used are those prescribed in the 2017 version of the rulebook (Official Gazette of the Republic of Serbia, No 21/17).
Interest rates deemed to comply with the arm's-length principle for 2018 are provided below.
For banks and financial leasing providers:
3.10% on short-term loans in RSD;
4.10% on long-term loans in RSD;
3.19% on loans in EUR and RSD loans indexed in EUR;
2.45% on loans in USD and RSD loans indexed in USD;
3.12% on loans in CHF and dinar loans indexed in CHF;
3.70% on loans in SEK and RSD loans indexed in SEK;
1.15% on loans in GBP and RSD loans indexed in GBP; and
3.33% on loans in RUB and RSD loans indexed in RUB.
For other companies:
5.84% on short-term loans in RSD;
5.58% on long-term loans in RSD;
3.10% on short-term loans in EUR and RSD loans indexed in EUR;
3.42% on long-term loans in EUR and RSD loans indexed in EUR;
12.97% on short-term loans in CHF and dinar loans indexed in CHF;
8.21% on long-term loans in CHF and dinar loans indexed in CHF; and
4.41% on short-term loans in USD and dinar loans indexed in USD.
