Tax Reliability Index in Slovakia: How It Works and What Changed in 2026

18.02.2026

18.02.2026

At the beginning of 2026, the rules for forming the tax reliability index for Slovak companies were updated. We explain what this index is, how it is calculated, and what specific changes have come into effect.

What is IDS

The Tax Reliability Index (Index daňovej spoľahlivosti, IDS) is a system for evaluating entrepreneurs, which the Financial Administration of Slovakia has been applying since 1 January 2022. Its aim is to motivate businesses to voluntarily and conscientiously fulfil their tax obligations, rewarding “good” taxpayers.

The system covers all entities that report on income tax – both sole traders (živnostníci) and legal entities (e.g., s.r.o. and a.s.).

The assessment rules are established in Ministry of Finance Decree No. 544/2021. The index is formed by several criteria, here are the main ones:

  • timely submission of tax returns and reports;
  • fulfilment of obligations to notify tax authorities;
  • payment of taxes, advances, and fines on time and in full;
  • results of tax audits;
  • correctness of reflecting the tax base and tax amount;
  • compliance with tax and customs legislation;
  • compliance with the rules for using electronic cash registers;
  • economic indicators (turnover, number of employees, financial result).

Based on the assessment, companies are categorised into three groups – highly reliable (vysoko spoľahlivý daňový subjekt), reliable (spoľahlivý daňový subjekt), and unreliable (nespoľahlivý daňový subjekt). The list of companies with the assigned index is published on the Financial Administration’s website and updated monthly. It includes the company’s tax ID (DIČ), its name, address, and assigned category.

What advantages does a high index provide

Companies with a high index receive several advantages as incentives:

  • priority consideration of certain applications (e.g., for VAT refunds);
  • lower likelihood of tax audits;
  • more favourable conditions when requesting tax deferrals or instalments;
  • accelerated communication with tax authorities.

Besides practical benefits, the index also has reputational significance: information about the category is public, which may be considered by banks and business partners of the company.

What changes from 1 January 2026

In 2026, the system was significantly revised. Changes affected the assessment criteria, calculation of economic indicators, and the list of benefits.

Firstly, the algorithms for calculating the index itself were adjusted. The Financial Administration did this to more accurately distinguish between formal errors and serious violations.

For example, considering the new VAT return format effective from July 2025, the penalty mechanism was revised – now the negative impact on the index will only occur if the company fails to submit the return even after an official notification from the tax authority. This softens the system for those who made a one-time administrative error.

Secondly, a new rule was introduced for companies challenging tax decisions in court. From 2026, they will temporarily not receive any index. Previously, businesses criticised situations where even when appealing to court, the company’s rating automatically worsened. Now the approach has changed: until the court proceedings are concluded, no index will be assigned to such companies.

The “freeze” of the index will occur in case of court appeals following tax audits, excise penalties, violations of cash register usage rules, and breaches of accounting legislation. Essentially, the state has taken an intermediate position: not to automatically worsen the assessment, but also not to consider the company “highly reliable” until the court’s decision.

Thirdly, the calculation of the effective tax rate is adjusted. Now the formula includes tax calculated after applying deductions for research and development and investment deductions.

This benefits companies investing in innovation and modernisation: their tax burden will no longer be interpreted as “suspiciously low” within the assessment framework.

The fourth change is the expansion of benefits for reliable and highly reliable taxpayers. Here are the incentives they receive from January 2026:

  • tax account status certificates and other confirmations are issued within 15 calendar days;
  • the limit for excise refund without verification is increased from 1,000 to 3,000 euros;
  • tax overpayment refunds are processed in a reduced timeframe – up to 15 days from the application submission (subject to conditions).

The only exception: accelerated refund does not apply to overpayments on income tax and vehicle tax arising from the submitted return – standard deadlines remain for them.

Entrepreneurial associations generally welcome the updates to the index formation rules. However, business representatives consider them insufficiently extensive. In their opinion, for the index to become a truly significant tool, the advantages should be more tangible – not only in the tax sphere but also in interactions with other state bodies.

Criticism also concerns the fact that many companies still do not attach great importance to the index, as its practical impact on everyday activities is limited.