Slovakia offers a 100% deduction of eligible costs from the income base, providing a net benefit of 21% on the cost of R&D. There is an additional 100% deduction that can be applied to any incremental year-on-year increase of QE, equating an additional 21% net benefit.
There is continued lack of clarity regarding how the legislation should be interpreted, which can make it difficult to engage with the relevant authorities.
The Finance Administration publishes a list of all the companies which have applied for the R&D Tax deduction, which includes a short description of each R&D project. This means there is a potential risk of sharing sensitive information with competitors.