Abstract

Starting from January 2018 the law on corporate income tax has been changed with the implementation of new rules which aim to countervail practices of avoiding taxation and have direct influence on the domestic market. The article analyses those rules which aim to countervail avoiding taxation by, i.a. deducting interests within the so-called costs of debt finance.

The lawmaker also brought into existence separate regulations including new limitations and exclusions in regard to counting outlays as tax deductible expenses of which the result are rules on determining the limits of restrictions regarding deduction or cost out proportion of part of costs of acquisition or taking shares or stock of a divided company.

The lawmaker also modified hitherto effective regulations regarding exclusions incurred by taxpayers connected with tax deductible expenses of which repeal of regulations regarding insufficient capitalization deserves special attention.