Disability Tax Reliefs (Tax Deductions)
The law in Croatia strictly and highly stimulatively protects persons with disabilities (PWD) as well as taxpayers who directly care for and transfer such people to their tax cards as dependent members. The tax system recognizes the higher costs of physical dysfunctions and gives back through significant factors of income tax deduction!
Categories of disability in the tax system
The law roughly divides the levels (coefficients) of the additional discount or personal tax-free tax deduction into two key separate groups according to the degree of established impairment.
1Partial disability
A coefficient of 0.30 is applied (exemption of an additional 168.00 euros of the base). It includes persons for whom the regulations have established a formal degree of a milder but present physical disability or other impairment, without a mandatory addition of a decision on the need for required assistance from another person or disability of a child.
2100% disability (care by another person)
A coefficient of 1.00 is applied (exemption of the legal 560.00 euros of the base every calendar month in the calculation!). Workers have the right on this basis, as well as family members who, by a decision, use the rights to a permanent formal allowance for the right to care and extraordinary full care by another person and assistance (including the inclusive allowance).
For whom can a worker claim a disability deduction?
Disability tax relief can be used in two ways - depending on who the disability refers to in the worker's family (the holder of the PK card budget):
The taxpayer themselves: Personal, direct worker's deduction! If you are a worker with the classification of a civil or military disabled person.
For a child: It is cumulatively added to the basic dependent norm! You get the factor of the child's age + the factor of the child's disability at the same time.
For dependent close parents/spouse: Summing up the tax discounts of dependent members with the diagnosis of their disability allowance according to the presented legally binding state decision!
Legal evidence: What do you actually need for the application?
The Tax Administration will not enter this level of powerful tax-free benefits just for the asking or with a general practitioner's confirmation. All rights to income generation are proven by official expert documents of the responsible institutions (HZMO, HZZO). Some of the relevant decisions from the administration that you will submit to the e-Građani digital system (or physically) are:
- Decision on the percentage of bodily impairment issued by the competent institute (HZMO).
- Decision of the centers for advanced state and city social care (allowance for care and assistance by other persons).
- Decision of the competent medical board (HZZO) on the impairment of the child's health or the finding of medical bodies.
Tip: Receipt on the basis of disability or assistance from another person by the Center does not enter that strict threshold of (3,360 euros of income of a dependent person annually). Receipts under special regulations on the basis of disability are an exception!