North Macedonia Tax Guide 2026 — CIT, PIT, VAT, Withholding & Filing
North Macedonia has one of the simplest and lowest tax regimes in Europe — flat 10% CIT, flat 10% PIT, 18% standard VAT, and total social contributions of 28%. Companies under MKD 3 million annual revenue pay zero corporate tax. Here is every rate, threshold, and deadline consolidated in one page.
Corporate Income Tax — 10% flat, with micro exemptions
10% on net profits. 1% of revenue for MKD 3-6M turnover. Fully exempt below MKD 3M (~EUR 49,000). Reinvested profits: 0%.
The standard CIT rate is 10% on net profits. North Macedonia offers a uniquely generous micro-business regime:
Below MKD 3 million annual revenue (~EUR 49,000): fully exempt from CIT. MKD 3-6 million (~EUR 49,000-98,000): simplified rate of 1% of revenue (not profit). Above MKD 6 million: standard 10% on net profits.
Reinvested profits are taxed at 0% — making North Macedonia one of the most tax-friendly jurisdictions for growing businesses in Europe.
The CIT return (Даночен биланс) is filed electronically via e-Danoci by March 15. Advance CIT payments are due monthly based on the previous year's liability.
VAT (DDV) — 18% standard, with reduced rates
18% standard. 10% catering/restaurants. 5% food, software, medicines. 0% bread, flour, eggs, exports. Threshold: MKD 2,000,000 (~EUR 32,500).
VAT (ДДВ — Данок на додадена вредност) rates:
18%: standard rate for most goods and services. 10%: catering and restaurant services (introduced to support hospitality sector). 5%: basic food products, agricultural inputs, computers, software, books, baby products, medicines, public transport. 0%: bread, flour, cooking oil, sugar, eggs, and all exports.
VAT registration threshold: MKD 2,000,000 annual turnover (~EUR 32,500). Once registered, filing is monthly (if turnover above MKD 25M) or quarterly. The DDV-04 return is due by the 25th of the following month.
Foreign digital service providers must register for VAT from the first B2C sale in North Macedonia — no threshold exemption applies.
Personal Income Tax & social contributions
PIT: 10% flat (18% above MKD 90,000/month). Social contributions: 28% all-employee-side. Minimum wage: MKD 26,045 net (March 2026).
Personal Income Tax: 10% flat rate on employment income. Income exceeding MKD 90,000/month is taxed at 18% on the excess.
Social contributions (28% total, all from employee gross): Pension 18.8%, Health 7.5%, Unemployment 1.2%, Additional 0.5%.
There is no separate employer-side social contribution — the employer's cost is simply the agreed gross salary. This is unique among Balkan countries and simplifies payroll significantly.
Minimum net salary from March 2026: approximately MKD 26,045 (~EUR 423). Minimum gross: ~MKD 38,506.
EDB and EMBS — Macedonian tax and registration numbers
EDB: 13-digit unique tax number (4032...). EMBS: 7-digit entity registration number from Central Registry. Both required on all invoices.
EDB (Единствен даночен број / Unique Tax Number): A 13-digit identifier issued by UJP (Public Revenue Office). Legal entities start with '40' (e.g., 4032013544513), self-employed with '41'. VAT-registered entities add an 'MK' prefix for EU transactions (e.g., MK4032013544513).
EMBS (Единствен матичен број на субјектот / Unique Registration Number): A 7-digit number issued by the Central Registry (Централен регистар) at company registration. Think of it as the company's 'birth certificate number.'
Both numbers must appear on all invoices, contracts, and official documents. You can verify any company's EDB and EMBS through the Central Registry's online portal.
The Macedonian denar (MKD) is pegged to the Euro at approximately 61.5 MKD/EUR — a de facto fixed rate maintained since 1995, making the currency risk for EUR-zone businesses negligible.
Withholding tax — 10% flat on all payment types
10% on dividends, interest, royalties, management fees, and technical service fees paid to non-residents. Reducible via 49 double-tax treaties.
North Macedonia applies a flat 10% withholding tax on payments to non-residents for: dividends, interest, royalties, management fees, entertainment/sports fees, and insurance premiums.
The 10% rate can be reduced or eliminated under North Macedonia's network of 49 double-tax treaties (including treaties with France, Germany, UK, Netherlands, and most EU countries).
Domestic dividends: 10% final withholding tax (same as for non-residents). Interest on bank deposits: 10% withholding. Capital gains from sale of shares: 10% PIT.
The withholding agent (the North Macedonian company paying) is responsible for deducting and remitting the tax to UJP.