Bratislava – This week, various organizations within the healthcare sector of the Association of Employers’ Associations and Unions (AZZZ) in Slovakia are set to lodge a complaint with the European Commission (EC) over what they claim is a discriminatory implementation of the transaction tax, which some financial experts suggest may contravene EU law. This information was confirmed to TASR by Igor Pramuk, the vice president of the association.
Pramuk highlighted that the organizations are concerned about the selective exemption from the transaction tax for certain healthcare providers and are warning about the potential negative repercussions of this policy. The Ministry of Health (MoH) of Slovakia has acknowledged that discussions are ongoing with the Ministry of Finance as they seek to address the issue.
“We are in the final stages of preparing a complaint to the European Commission regarding the discriminatory nature of the transaction tax application. We aim to submit it this week on behalf of the healthcare organizations within the AZZZ. We are collaborating because this is a systemic issue affecting a broad spectrum of healthcare providers,” Pramuk stated.
He emphasized that the absence of tax relief for all healthcare providers could lead to further cost increases for medical facilities.
The Association of Outpatient Providers (ZAP) warned that the implementation of the transaction tax without accompanying state compensation could jeopardize the sustainability of outpatient services. Patients may experience a decline in access to healthcare or face higher costs as a result.
Marián Šóth, head of the Association of Private Doctors (ASL) in Slovakia, criticized the decision to exempt primarily those entities that have long been accruing debts from the transaction tax. “Responsible entities that efficiently manage the funds they receive for healthcare are burdened further and are obligated to pay the transaction tax,” he remarked.
Pramuk confirmed that AZZZ representatives are in discussions with the Ministry of Health regarding the matter. “Negotiations with the Ministry of Health of Slovakia are ongoing, but as of now, the state has not made any specific commitments to alleviate the impact of the transaction tax,” he stated. The MoH has confirmed to TASR that it is in talks with the Ministry of Finance, expressing hope for a resolution. However, the Ministry of Finance has yet to respond to TASR’s inquiries.
Parliament approved the new financial transaction tax last fall, which faced prior criticism from hospital and outpatient representatives. While the law goes into effect on January 1, 2025, the first taxable period will commence in April. The tax will impact most healthcare providers, with the exception of state contributory organizations.
In November 2024, the Slovak chapter of the International Fiscal Association (IFA), comprised of tax law experts, cautioned that the new transaction tax in Slovakia may violate EU law. (February 3)
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