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Country guide · Transfer pricing & international tax

Transfer Pricing in Slovenia

Transfer pricing in Slovenia pairs a fully OECD-aligned statute (ZDDPO-2 Articles 16–17) with a centralised specialist audit unit at FURS — this guide sets out the rules, documentation demands, penalties and certainty tools practitioners actually face.

Last verified 8 August 2026 Download the PDF All country guides →
The essentials

Slovenia at a glance

Framework

Statutory basis Articles 16–17 ZDDPO-2 (in force 1 Jan 2007) + Rules on Transfer Prices (Off. Gaz. RS 141/06, 4/12)

Article 16 governs cross-border related-party dealings at comparable market prices; procedural rules (documentation, CbCR, APAs) sit in the Tax Procedure Act (ZDavP-2).

ZDDPO-2 Arts 16–17; Pravilnik o transfernih cenah
Status of OECD Guidelines Interpretative aid, not binding law

Supreme Court decisions X Ips 1138/2006 and X Ips 452/2014 confirm the TPG as an indicative tool. Only the 2010 edition is translated into Slovene; later editions are applied via the English original.

Supreme Court X Ips 1138/2006; X Ips 452/2014
Related-party threshold 25% of shares, capital, voting rights or management/control (direct or indirect)

Contractual control also qualifies — and under Article 16(1), transaction terms diverging from independent-party terms are themselves a trigger in each limb.

ZDDPO-2 Art 16(1)
Domestic related-party transactions Adjusted only where one resident is in a favourable tax position

Article 17 (same 25% threshold) bites only where a party has unrelieved losses, a 0%/reduced rate, or CIT exemption — otherwise no adjustment between two Slovenian residents.

ZDDPO-2 Art 17
PE profit attribution Authorised OECD Approach (AOA) applied

Article 12 ZDDPO-2 attributes profit as if the PE were independent; Slovenia applies the AOA even under pre-2010 Article 7 treaties, which form most of its network.

ZDDPO-2 Art 12; OECD profile Q43–45
Tax authority FURS — TP audits centralised in a specialist department since 1 Jan 2014

The Transfer Pricing Department at the General Financial Office (GFU) runs TP inspections nationwide — taxpayers face specialists, not generalist local inspectors.

FURS, Nadzor transfernih cen (2017)

Methods & Comparability

TP methods All five OECD methods; 'most appropriate method' standard; combinations allowed

CUP, resale price, cost plus, TNMM and profit split — no hierarchy and no domestic 'other' methods. Commodities follow TPG 2.18–2.22 with quoted prices under CUP.

ZDDPO-2 Art 16(5); Rules on TP Arts 1a–6
Comparables preference Domestic preferred but rarely available — pan-European sets accepted

FURS acknowledges the small Slovenian market yields few local comparables, so regional benchmarking is standard practice.

Rules on TP Arts 1a–21; OECD profile Q8
Secret comparables Not permitted

FURS may not assess on the basis of comparables the taxpayer cannot see.

OECD profile Q9
Arm's length range Point of best fit if data is highly reliable; otherwise interquartile range and median

Where the comparables set is imperfect, expect FURS to adjust to the median under Article 21 of the Rules.

Rules on TP, Art 21
Comparability adjustments Required where differences materially affect the comparison

Also permitted wherever they improve reliability of results.

Rules on TP, Art 9
Intangibles & HTVI TPG Chapter VI followed; no specific HTVI legislation

The FURS booklet 'Transferne cene' (pt 2.4.1) flags the HTVI approach for valuation-uncertainty cases; the ordinary 5/10-year limitation periods apply.

Rules on TP Art 22a; FURS booklet pt 2.4.1
Services, LVAS & CCAs TPG Chapters VII–VIII followed; LVAS simplified approach accepted

The low value-adding services section was added to the FURS booklet in 2020 (pt 2.5.1); CCAs are permitted under Article 23 of the Rules.

Rules on TP Arts 22–23; FURS booklet pt 2.5.1

Documentation & Disclosure

Master file / local file Mandatory for all taxpayers with related-party transactions — no size thresholds

Two-tier documentation under Article 382 ZDavP-2 (since 2006), aligned with TPG Chapter V; the master file may be prepared at group level.

ZDavP-2 Art 382
Timing, production & retention Contemporaneous (by CIT-return deadline); produce immediately or within 30–90 days on audit; retain 10 years

Electronic form is permitted. The 30–90-day window depends on data volume and complexity — too short to build a file from scratch.

ZDavP-2 Art 382; OECD profile Q30
Language English accepted; Slovene translation on demand — at least 60 days allowed for the master file

Foreign-language and electronic documentation are permitted, but FURS may require translation during audit.

ZDavP-2 Art 382
Country-by-Country reporting EUR 750m group threshold; file within 12 months as OECD-schema XML via FURS B2B channel

Every Slovenian constituent entity also files a CbCR notification as an attachment to its annual DDPO return via eDavki.

ZDavP-2 Arts 248.b, 255.i–255.l; FURS CbCR page
Return disclosure & de minimis Related-party annexes to the DDPO return; per-counterparty dealings ≤ EUR 50,000/year exempt

Return due within 3 months of year-end via eDavki. Annex numbering differs between the domestic pravilnik (historically Priloge 15–17) and the Oct 2025 OECD profile (Annexes 15–16) — verify against the current consolidated pravilnik.

Pravilnik o davčnem obračunu DDPO; OECD profile Q32

Penalties & Enforcement

Documentation offences EUR 1,200–15,000 fine (EUR 3,200–30,000 for medium/large companies)

Article 397 ZDavP-2 covers failure to provide TP documentation or file CbCR; responsible persons face EUR 600–4,000 in addition. There is no TP-specific penalty regime.

ZDavP-2 Art 397
Serious tax offences Up to EUR 100,000 (EUR 150,000 medium/large) where underpayment exceeds EUR 10,000 / EUR 25,000

Article 398 'particularly serious' offences apply above the thresholds; responsible persons risk up to EUR 20,000.

ZDavP-2 Art 398
Interest on assessments 7% p.a. on audit assessments; 0.0274%/day default interest

The 7% rate under Article 95 ZDavP-2 was upheld by the Constitutional Court on 24 October 2024.

ZDavP-2 Arts 95–96
Secondary adjustment 15% withholding tax — adjustment treated as hidden profit distribution

Articles 70 and 74 ZDDPO-2; a lower treaty rate applies where a double tax convention exists. Often the costliest element of a Slovenian TP assessment.

ZDDPO-2 Arts 70, 74
Statute of limitations 5 years relative / 10 years absolute

General ZDavP-2 rules; no special limitation periods for HTVI or other TP matters.

ZDavP-2 Arts 125–126.a
Audit intensity (2024) EUR 125.4m additional tax assessed (+41.4%); irregularities in ~74% of inspections

Figures cover all tax inspections, but the FURS 2024 annual report confirms TP as a continuing focus. Risk selection targets loss-makers, intra-group financing and low-tax-jurisdiction dealings.

FURS Annual Report 2024

Dispute Resolution & Certainty

APAs Unilateral, bilateral and multilateral since 1 Jan 2017; EUR 15,000 fee; max 5 years (extendable)

Prospective only — concluded before the covered transactions occur. EUR 5,000 refunded if no agreement is reached for reasons outside the taxpayer's control; extension costs EUR 7,500.

ZDavP-2 Arts 14.a–14.g; eDavki APA page
MAP Available under treaties, the EU Arbitration Convention and the EU dispute-resolution mechanism

FURS is competent authority; it notes relief may be refused where the adjustment involved irregularities subject to serious penalties.

FURS MAP page; Slovenia MAP profile (OECD)
Self-adjustments Upward only in the return; downward relief only through MAP

Year-end adjustments are allowed but not required; unilateral downward corresponding adjustments are unavailable.

Pravilnik o davčnem obračunu DDPO, Annex 1; OECD profile Q40–41
Domestic appeal route Appeal to Ministry of Finance (as a rule 15 days), then Administrative Court, then Supreme Court revizija

Some practitioner sources cite 30 days for inspection assessment decisions — check the instruction on the decision itself.

FURS Pritožba guidance
Interest-rate safe harbour Article 19 recognised interest rate — variable base published monthly plus maturity and credit-rating mark-ups

Slovenia's only TP-dedicated safe harbour; taxpayers may instead demonstrate an arm's length market rate under TPG Chapter X principles.

ZDDPO-2 Art 19; Pravilnik o priznani obrestni meri

Current Developments

CIT rate window 22% for 2024–2028; reverting to 19% from 2029

Temporarily raised by the post-flood Reconstruction Act (ZORZFS) — TP adjustments in this window carry a higher headline cost.

ZORZFS; FURS DDPO page
Interest limitation Higher of 30% of EBITDA or EUR 1m for 2024; EUR 3m threshold from 2025

Article 54.c ZDDPO-2 (ZDDPO-2T, Ur. l. RS 12/24) implements ATAD for periods beginning 1 Jan 2024 with a EUR 1m alternative; ZDDPO-2U (Ur. l. RS 100/24) raised it to EUR 3m and deleted the 4:1 thin-capitalisation rule (Art 32) for periods beginning 1 Jan 2025 — during 2024 both rules applied in parallel.

ZDDPO-2 Art 54.c; ZDDPO-2T (Ur. l. RS 12/24); ZDDPO-2U (Ur. l. RS 100/24)
Pillar Two Minimum Tax Act (ZMD) — QDMTT plus IIR/UTPR for EUR 750m groups

Adopted 13 December 2023 (Off. Gaz. RS 131/23), implementing Directive (EU) 2022/2523; top-up tax applies where the jurisdictional effective rate falls below 15%.

ZMD, Uradni list RS 131/2023
Public CbCR ZGD-1M in force 18 December 2024

Transposes Directive (EU) 2021/2101: groups above EUR 750m consolidated revenue in two consecutive years must publish income tax data by jurisdiction.

ZGD-1M, Uradni list RS 102/2024
Amount B Not adopted domestically; covered-jurisdiction outcomes respected

Slovenian law has no baseline marketing/distribution provisions, but per the Inclusive Framework commitment Slovenia will consider and respect the approach where a treaty partner applies it as a covered jurisdiction.

OECD profile Q34, Q37

The legal framework

Slovenia codified the arm's length principle in Articles 16 and 17 of the Corporate Income Tax Act (ZDDPO-2), in force since 1 January 2007. Article 16 requires cross-border related-party dealings to be recognised at comparable market prices — expenses are deductible only up to the arm's length amount, revenues recognised at no less than it. Article 17 mirrors the rule for two Slovenian residents but bites only where one party sits in a favourable tax position: unrelieved losses, a zero or reduced rate, or CIT exemption. Implementing detail sits in the Rules on Transfer Prices (Official Gazette RS 141/06 and 4/12); documentation, CbCR and APA procedure in the Tax Procedure Act (ZDavP-2). Relatedness turns on a 25% threshold — shares, capital, voting rights or management participation, direct or indirect — but also on contractual control, and Article 16(1) makes divergence of terms from independent-party conditions itself a trigger.

The OECD Guidelines are not binding law. The Supreme Court held in X Ips 1138/2006 (point 15) and X Ips 452/2014 (point 10) that the TPG serve as an interpretative and indicative aid when applying ZDDPO-2 and the Rules; only the 2010 edition has been translated into Slovene, so the 2017 and 2022 editions operate through the English original. Permanent establishments are taxed under Article 12 ZDDPO-2 on profit determined as if the PE were an independent enterprise, and Slovenia applies the Authorised OECD Approach even under pre-2010 Article 7 treaties — the majority of its network. Enforcement rests with FURS, and since 1 January 2014 all TP audits have been centralised in a specialist Transfer Pricing Department at the General Financial Office: taxpayers face a practised unit, not a generalist local inspector.

Methods, comparables and benchmarking

All five OECD methods are legislated — CUP, resale price, cost plus, TNMM and profit split (Article 16(5) ZDDPO-2; Rules, Articles 1a–6) — under the most appropriate method standard, with combinations permitted and no domestic additions. Commodity transactions follow TPG paragraphs 2.18–2.22, with quoted prices used under CUP as the FURS booklet 'Transferne cene' confirms (point 2.2.1). Comparability analysis tracks Chapter III. Domestic comparables are preferred in principle, but FURS itself concedes the small Slovenian market rarely yields them, so pan-European benchmarking sets are accepted in practice — the argument in audit is usually about search strategy and adjustments, not geography. Secret comparables are prohibited.

Article 21 of the Rules governs the range: where the data is highly reliable, the arm's length price is the point best reflecting the transaction's facts; where reliability is limited, the interquartile range and median apply — so an imperfect set invites a median adjustment. Comparability adjustments are required wherever differences materially affect the comparison (Article 9). The specialist chapters follow the TPG closely: intangibles per Chapter VI (Rules, Article 22a), with no HTVI statute but booklet acknowledgment (point 2.4.1) that the HTVI approach may be applied in valuation-uncertainty cases within ordinary limitation periods; services per Chapter VII, including the low value-adding services simplified approach added to the booklet in 2020 (point 2.5.1); and cost contribution arrangements per Chapter VIII (Article 23).

Documentation: what FURS expects

Article 382 ZDavP-2 has required two-tier documentation since 2006: general documentation (splošna dokumentacija — the master file, which may be prepared for the group as a whole) and country-specific documentation (posebna dokumentacija — the local file covering the transactions, functional and comparability analysis, contractual terms, method selection and arm's length evidence). There are no monetary thresholds or exemptions: every taxpayer with related-party transactions is in scope. The file must be contemporaneous — maintained on an ongoing basis and completed at latest by the CIT-return filing deadline — retained for ten years, and produced in audit as a rule immediately; where that is impossible, FURS sets a window of 30 to 90 days depending on volume and complexity. That window is not long enough to build a defensible file from nothing. English documentation is accepted, but FURS may demand a Slovene translation, with at least 60 days allowed for the master file.

Disclosure runs through the annual DDPO return, filed via eDavki within three months of year-end (31 March for calendar-year taxpayers), with annexes covering related-party loans and Article 16 and 17 transactions; dealings with an individual related party not exceeding EUR 50,000 cumulatively per year are exempt from annex reporting. Note a numbering discrepancy: the domestic pravilnik historically uses Priloge 15–17 while the October 2025 OECD profile cites Annexes 15 and 16 — verify against the current consolidated rules. CbC reporting applies to groups at EUR 750 million consolidated revenue, filed within twelve months as OECD-schema XML through FURS's B2B channel; every Slovenian constituent entity files a CbCR notification with its return.

Audits, penalties and the enforcement climate

FURS selects cases on risk: persistent loss-makers, profitability below industry norms, intra-group financing, dealings with low-tax jurisdictions, branches paying no CIT, and leads from international information exchange. Recurrent findings involve method mis-selection, service charges failing benefit and duplication tests, intangibles royalties, PE profit attribution, and year-end credit-note 'adjustments'. The 2024 annual report shows additional tax assessed across inspections up 41.4% to EUR 125.4 million, with irregularities in roughly 74% of inspections — figures spanning all taxes, but with transfer pricing named as a continuing focus.

There is no TP-specific penalty regime; the general offence rules do the work. Failing to provide documentation or file CbCR is an offence under Article 397 ZDavP-2: EUR 1,200–15,000 for legal persons (EUR 3,200–30,000 for medium and large companies) plus responsible-person fines. Underpayments above EUR 10,000 (EUR 25,000 for medium/large companies) escalate to Article 398 'particularly serious' offences carrying fines up to EUR 100,000 or EUR 150,000. Assessed tax bears interest at 7% per annum under Article 95 — upheld by the Constitutional Court on 24 October 2024 — with default interest at 0.0274% per day. The sharpest edge is the secondary adjustment: a primary TP adjustment is treated as a hidden profit distribution and hit with 15% withholding tax under Articles 70 and 74 ZDDPO-2, reduced only where a treaty applies. Assessments are constrained by a five-year relative and ten-year absolute limitation period (Articles 125–126.a), with no HTVI carve-out.

Dispute resolution and advance certainty

An assessment can be appealed to the Ministry of Finance — FURS guidance says as a rule within 15 days of service, though some practitioner sources cite 30 days for inspection decisions, so check the instruction on the decision itself — then challenged before the Administrative Court, with Supreme Court revizija as extraordinary review. The courts engage substantively: X Ips 74/2020 (2022) dealt with parent-guaranteed loans under the former thin-capitalisation rule; Administrative Court decisions of December 2023 applied the benefit test to intra-group software licences and head-office charges, and December 2024 examined post-restructuring recharacterisation of a pharmaceutical distributor with a DEMPE analysis. MAP is available under Slovenia's treaties, the EU Arbitration Convention and the EU dispute-resolution mechanism, though FURS notes relief may be refused where the adjustment involved irregularities attracting serious penalties.

Advance certainty comes in two forms. APAs — unilateral, bilateral and multilateral — have been available since 1 January 2017 under Articles 14.a–14.g ZDavP-2: a EUR 15,000 fee (EUR 5,000 refunded if no agreement is reached for reasons beyond the taxpayer's control; extensions cost EUR 7,500), a five-year maximum term, and strictly prospective effect. Second, Article 19 ZDDPO-2 offers a recognised interest rate safe harbour for related-party loans, built from a monthly-published base rate plus maturity and credit-rating mark-ups. On adjustments, the traffic is one-way: taxpayers may self-adjust only upward in the return; year-end adjustments are permitted but not required; downward corresponding relief runs exclusively through MAP.

Pillar Two, ATAD and the 2024–2026 reform wave

Three structural changes reshape the exposure calculus. First, CIT is temporarily 22% for 2024–2028 under the post-flood Reconstruction Act (ZORZFS), reverting to 19% from 2029 — every euro of adjustment costs more in this window. Second, from 2024 an ATAD-based interest limitation (Article 54.c ZDDPO-2, introduced by ZDDPO-2T) caps deductible net borrowing costs at the higher of 30% of EBITDA or EUR 1 million; ZDDPO-2U raised the monetary threshold to EUR 3 million for periods beginning 1 January 2025 — the same amendment that deleted the old 4:1 debt-to-equity thin-capitalisation rule, which therefore still applied in parallel during 2024. Intra-group financing now faces both an arm's length pricing test and a quantitative cap. Third, the Minimum Tax Act (ZMD, Official Gazette RS 131/23) implements Pillar Two with a qualified domestic top-up tax and IIR/UTPR for EUR 750 million groups.

Transparency is widening too: the ZGD-1M Companies Act amendment, in force 18 December 2024, brings public country-by-country reporting for groups above EUR 750 million. Amount B has not been adopted domestically, but Slovenia commits to respecting covered jurisdictions' outcomes where a treaty exists. The October 2025 OECD profile flags no pending TP regulations — the framework is stable; enforcement intensity is the moving part.

How practitioners should respond

Seven practical points. Prepare documentation contemporaneously — the 30–90-day production window presumes the file exists. Benchmark on pan-European sets, but pre-empt median-pushing by defending comparability quality under Article 21 of the Rules. On financing, either price within the Article 19 safe harbour or hold full Chapter X evidence, and model the Article 54.c EBITDA cap alongside pricing. Keep benefit evidence for every service charge — this is precisely where Slovenian courts have decided recent cases — and use the LVAS election for genuinely low-value services. Price the full downside of an adjustment: 22% CIT, 7% interest, a 15% secondary-adjustment withholding and potential Article 398 fines compound quickly. For material recurring flows, a bilateral APA at EUR 15,000 is inexpensive certainty. And because downward adjustments require MAP, build treaty procedure into any group true-up policy rather than assuming unilateral relief.

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