Slovenia Tax Agency Updates Tax Guidance on Related-Party Loans

The Slovenian Financial Administration Dec. 27 updated guidance on the tax treatment of related-party loans involving companies or individuals. The updates include: 1) procedures for calculating the average value of capital in determining interest on excess loans, for a partner considered a related party throughout the entire tax period, or who becomes or ceases to be one; 2) procedures for calculating the average value of capital when calculating the base for withholding tax; 3) a clarification that the total recognized interest rate on loans between related parties can’t be negative; and 4) new material on the tax treatment of payments ...