Limitation of VAT Deduction on Personal Motor Vehicles (Effective from 1 January 2026)
One of the measures approved as part of the third consolidation package is the limitation of VAT deduction on company vehicles that are also used for private purposes. Below we provide a concise overview of this limitation, based on the methodological guidance of the Financial Directorate of the Slovak Republic No. 3/DPH/2025/MU, the transitional provisions of Article 85n of Act No. 222/2004 Coll. on Value Added Tax, as amended, and Article 55 zzzk of Act No. 595/2003 Coll. on Income Tax, as amended.