As of 14 August 2026, the Croatian Tax Administration (Porezna uprava) has published its annual report on the settlement of tax liabilities and the corresponding removal of taxpayers from the national list of tax debtors (Raspored duznik za porezne obveze), a publicly accessible registry maintained pursuant to Article 145 of the Income Tax Act and the General Administrative Procedure Act (Zakon o općem administrativnom postupku). The report details the administrative outcomes of the 2025 fiscal year, documenting the number of taxpayers who fulfilled their outstanding tax obligations in full, the mechanisms by which their names were expunged from the debtor registry, and the enforcement tools employed to encourage voluntary compliance prior to public listing. The publication forms part of the Ministry of Finance’s broader strategy to enhance taxpayer transparency, deter tax evasion through reputational sanctions, and align with EU Directive 2018/822 on the fight against fraud to the Union’s financial interests, which mandates effective, proportionate, and dissuasive penalties for persistent non-compliance. According to the report, a total of 12,437 taxpayers were removed from the debtor list during the reporting period after demonstrating complete payment of assessed taxes, accrued interest, and penalty fees, representing a 6.8 percent increase compared to the previous year’s removal count. The Administration attributed this rise to an intensified outreach campaign combining personalized taxpayer notice letters, online portal-based payment plan enrollments, and targeted field audits focused on high-risk sectors identified through predictive analytics and cross-border information exchange under the Council Directive (EU) 2018/822’s automatic exchange of information provisions. Furthermore, the report highlights that 4,219 taxpayers entered into binding payment arrangement agreements, restructuring their outstanding liabilities into up to thirty-six monthly installments, thereby averting inclusion in the debtor registry while ensuring staged compliance. The Administration also recorded 892 successful enforcement actions involving the seizure of bank accounts, wage garnishments, and the registration of mortgage liens on real property, each executed following final administrative decisions becoming res judicata. Notably, the report indicates that taxpayers who successfully completed a payment arrangement or full settlement experienced an average credit score improvement of 22 points within six months, as reported by the Croatian Credit Bureau, underscoring the ancillary benefit of proactive tax debt resolution on broader financial inclusion. The Administration reiterated its commitment to periodic reporting, with the next edition scheduled for publication in August 2027, and encouraged taxpayers facing financial hardship to utilize the Installment Payment Plan facility accessible through the mPorezna mobile application, which offers interest suspension benefits for the first twelve months of the arrangement. The findings of this report are expected to inform upcoming revisions to the General Tax Procedure Rules, particularly concerning the procedural safeguards for taxpayers contesting debtor listing, and to reinforce the Ministry’s oversight mechanisms regarding the proportionality and necessity of public shaming as a compliance instrument in line with the European Court of Human Rights’ case law on the right to respect for private and family life.
Key Takeaways
- The 2025 fiscal year report reveals a 6.8 percent year-on-year increase in taxpayer removals from the national debtor registry, driven by expanded enforcement actions, predictive analytics-driven audits, and a proactive installment payment campaign that facilitated structured compliance for over four thousand obligors.
- Taxpayers who settled liabilities in full or entered into formal payment arrangements reported significant ancillary benefits, including an average 22-point credit score improvement within six months, highlighting the positive impact of tax debt resolution on broader financial stability and creditworthiness.
- The Administration’s next reporting cycle, scheduled for August 2027, will incorporate enhanced procedural safeguards for disputing debtor listings, reflecting ongoing alignment with European Court of Human Rights jurisprudence regarding the right to respect for private and family life, and will likely introduce stricter timelines for administrative review of objection submissions.
Disclaimer:This article is compiled and summarized based on publicly available information and is for general information and academic exchange purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. For tax planning, please consult a qualified professional tax advisor or legal counsel.
Source: Read Original Announcement