- Overview: Bosnia and Herzegovina
- Global HR Compliance
- Global PEO and payroll
- Work permit for hiring expats via PEO
- Expand without a company set up
- Contractor vs. employee: which is better?
Global PEO and Payroll in Bosnia and Herzegovina
Getting your business up-and-running in Bosnia and Herzegovina (BiH or B&H) can be challenging, especially if you do not speak the native language. Establishing your own business entity in Bosnia and Herzegovina is an option to be considered as you expand abroad. But before you invest valuable resources in setting up business in Bosnia and Herzegovina, you should be fully aware of the risks involved.
Acumen’s Global PEO and Payroll solution was designed especially for companies like yours, to smooth the way for quick, easy and risk-free business operations in Bosnia and Herzegovina, without having to establish a legal business entity.
Acumen International – Your Professional Employer Organization in Bosnia and Herzegovina
Navigating the Bosnia and Herzegovina’s legal system and adhering to regulations governing employment and taxation can be challenging for businesses, especially if you are not a native BiH’s speaker. Partnering with Acumen International as a global Professional Employer organization (PEO) provides you with the local knowledge and support you need to conduct business in Bosnia and Herzegovina without concern for legal and compliance risks.
Whether you represent international client companies or you are taking your own business operations abroad, Acumen International’s Global PEO and payroll service allows you to hire and payroll local and expat employees in Bosnia and Herzegovina. With Acumen in your corner, you can quickly and easily onboard and compensate your employees without risk of legal repercussions.
International Global Payroll and Taxation in Bosnia and Herzegovina
Employment related taxes
In the Federation of Bosnia and Herzegovina, personal income tax (PIT) payers are considered to be:
- Residents, subjecting them to tax on their worldwide income
- Non-residents who perform independent business activity through a permanent place of business activities in the territory of the Federation of Bosnia and Herzegovina, subjecting them to tax on income generated from such permanent place of business
- Non-residents who perform dependent business activity in the territory of the Federation of Bosnia and Herzegovina, subjecting them to tax on income generated from such dependent business activity
- Non-residents who earn income from movable and immovable property, royalties, patents, licences, and capital investments where ownership of the underlying property is in the territory of the Federation of Bosnia and Herzegovina, subjecting them to tax on income earned from such property.
In Republika Srpska, PIT payers are residents, as well as non-residents who earn income in the territory of Republika Srpska.
Payroll Cycle in Bosnia and Herzegovina
Salary shall be paid after the work is performed in periods, which cannot be longer than 30 days.
13th salary in Bosnia and Herzegovina
Christmas bonuses are customary in Bosnia, but the federal government does not require them.
Non-payroll taxes in Bosnia and Herzegovina
The standard VAT regime applies equally throughout the country of Bosnia and Herzegovina. There is no reduced VAT rate in Bosnia and Herzegovina.
Taxable persons are all individuals and legal entities registered or required to be registered, for VAT.
The export of goods is zero-rated.
The VAT period is one calendar month.
Any tax credit that has not been used after a period of six months shall be refunded. Registered exporters are to be refunded within 30 days.
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How Acumen’s International PEO and Payroll Service can Benefit Your Business in Bosnia and Herzegovina
Compensating your local and expat workforce in Bosnia and Herzegovina and closely adhering to BiH’s taxation requirements can divert your attention and resources from activities that help your business grow. A reliable global employment solution like Acumen’s Global PEO and Payroll service can take a substantial burden off your shoulders so you can focus on running your company.
Outsourcing the administrative and compliance tasks involved in employee payroll is one approach, but we have a better solution. Acumen International offers a global PEO and payroll solution that goes beyond outsourcing. We hire and compensate your global workforce on your behalf, and take care of all the details of payroll while ensuring full compliance with BiH’s labor and taxation laws.
It is important to note that Acumen does not provide international global payroll services as a standalone solution, but only as a part of our global PEO and Payroll solution.
Our comprehensive global PEO and payroll services are just some of the benefits of partnering with Acumen International. We make it easy for you to achieve your business goals in Bosnia and Herzegovina by officially employing and compensating your best selected global talent – both locals and expats – without concerns for legal and compliance risks faced by global employers.
Disclaimer: Any of the above information is subject to changes imposed by BiH’s laws. To get the latest updates on taxation in Bosnia and Herzegovina and in 190 countries worldwide, contact Acumen’s team of global employment experts.