Promotional Items and Tax in Slovakia: The €17 Limit for VAT and Income Tax

Short answer: in Slovakia a promotional item worth up to €17 per piece is a tax-deductible expense under § 21(1)(h) of the Income Tax Act, and giving it away free carries no output VAT under § 8(3) of the VAT Act. A VAT payer measures the €17 excluding VAT, a non-payer including VAT. An item above €17 counts as entertainment: the whole amount is non-deductible and VAT becomes due on the hand-over if you deducted it on purchase. The limit is unchanged for 2026. We verified it on slov-lex.sk on 15 October 2026.

This guide for foreign companies with a Slovak entity explains what counts as a promotional item, how the limit is measured, what happens above it and what the numbers look like for a €6 keyring and a €40 trophy. If you are planning a run of branded objects with your logo, it helps you set the budget before you send a quote request.

What Does the Slovak Income Tax Act Say?

Act No. 595/2003 Coll. on income tax (zákon o dani z príjmov; “daň z príjmov” is income tax) excludes entertainment expenses (výdavky na reprezentáciu) from tax expenses in § 21(1)(h), “except expenses on promotional items with a value not exceeding €17 per item” (our translation; promotional items are “reklamné predmety”). The same provision says the following are not promotional items:

1. gift vouchers,
2. tobacco products, unless tobacco manufacturing is the taxpayer’s main activity,
3. alcoholic drinks, except wine as defined in § 4(3) of Act No. 530/2011 Coll., up to a total of 5% of the tax base; this cap does not apply to a taxpayer whose main activity is producing alcoholic drinks.

The limit applies per item, not per order, and a €15 voucher fails even though it sits under it.

We checked the wording in force from 1 January 2026 to 30 December 2026 and compared it with the version in force from 1 January 2025 and the future version from 31 December 2026. Point (h) is identical in all three. The 2026 consolidation measures did not touch it.

What Does the Slovak VAT Act Say?

Act No. 222/2004 Coll. on value added tax (zákon o dani z pridanej hodnoty; “DPH” is VAT) deals with free supplies in § 8(3). The first sentence says that when a VAT payer supplies goods free of charge and deducted VAT on their purchase, the supply is treated as a supply for consideration, so output VAT is due. The second sentence gives the exception: a free supply of goods for business purposes whose value does not exceed €17 excluding VAT per piece, and a free supply of commercial samples, is not treated as a supply for consideration (our translation).

In practice:

• Up to €17 excluding VAT per piece: you deduct input VAT under the normal conditions of § 49(2), that is, when the items serve your taxable business. No VAT is due when you hand them to clients.
• Above €17 excluding VAT per piece: if you deducted VAT on purchase, output VAT is due on the free hand-over, calculated under § 22(5) on the purchase price at the time of supply or, for goods you made yourself, the production cost. If you do not deduct the input VAT, nothing is due on hand-over. Either way the VAT stays a cost of the company.

The VAT Act says “bez dane”, excluding tax, explicitly. The wording in force from 1 January 2026 is identical to the version from 1 January 2025 and to the future version from 1 January 2027.

Is the €17 Measured with or Without VAT?

The Income Tax Act does not say. The Financial Directorate of the Slovak Republic (Finančné riaditeľstvo SR) settled it in guidance issued in January 2019:

Who buys	How the €17 is measured
VAT payer entitled to deduct input VAT	excluding VAT
VAT payer not entitled to deduct	including VAT
Non-VAT payer	including VAT

At the standard rate of 23% a non-payer can go up to €13.82 excluding VAT, because €13.82 × 1.23 = €17.00. A VAT payer can go up to €17.00 excluding VAT, which is €20.91 including VAT.

Count the full acquisition cost of one piece towards the value: the item itself, printing or personalisation, packaging and delivery split per piece. Published examples by tax advisers count it this way (see sources) and it is the safer approach in an audit.

What Is a Promotional Item and Does It Need a Logo?

The Income Tax Act does not define a promotional item. The Financial Directorate’s guidance states that since 1 January 2010 marking the item with the company name or trademark is not a condition, but the expense must relate to the taxpayer’s business under § 2(i) of the Act. An item with your logo or company name proves that link most easily, so we still recommend it.

A trophy for employee of the year or a gift for the team is the same free supply in the eyes of the law as a gift to a client, so the same €17 test applies.

What Happens Above €17?

An item whose value exceeds €17 per piece stops being a promotional item and becomes an entertainment expense. Three consequences:

1. The whole amount is non-deductible, not only the part above €17. In its answer on €20 wallets, the Financial Administration calls the cost a non-tax expense in full.
2. The VAT stays a cost: either you do not deduct it on purchase, or you deduct it and pay it on hand-over.
3. In the corporate income tax return the amount goes in row 6 of table A as an item increasing the accounting result (row 130). Wine above 5% of the tax base goes in row 304.

Worked Examples: A €6 Keyring and a €40 Trophy

Both examples assume a VAT payer with a full right to deduct and the standard rate of 23%.

3D printed keyring with your logo, €6 excluding VAT per piece, 100 pieces. Input VAT €1.38 per piece, €138 in total. The €6 value is under the limit, so:

• €600 is a tax-deductible expense in full,
• you deduct the €138 of VAT,
• no VAT is due when you hand the keyrings to clients.

3D printed trophy for partners, €40 excluding VAT per piece, 20 pieces. Input VAT €9.20 per piece, €184 in total. The €40 value is over the limit, so:

• €800 is non-deductible in full and is added back to the tax base in the return,
• the €184 of VAT is either not deducted or paid on hand-over; in both cases it is a cost,
• the real cost to the company: €984 with no tax relief at all.

A trophy over the limit is not a mistake, it just has to be budgeted as entertainment. A smaller size, a simpler shape or FDM instead of SLA all help to stay under the limit.

Up to €17 vs Above €17: Overview

	Up to €17 per piece	Above €17 per piece
Income tax	deductible expense	non-deductible in full
Input VAT	deductible under § 49	deductible, but paid on hand-over
Output VAT on hand-over	no	yes, if input VAT was deducted
Bookkeeping in practice	consumption of material (account 501) with an analytical account for promotional items	entertainment costs (account 513)
Corporate tax return	no adjustment	row 6 of table A, row 130

The bookkeeping row follows the Financial Administration’s answer on non-deductible expenses, which books over-limit items as stock used for entertainment. Confirm the exact treatment with your accountant.

Checklist Before You Order

1. Are you a VAT payer with a right to deduct? That decides whether you measure €17 excluding or including VAT.
2. Have you priced one piece including printing, packaging and delivery?
3. Is the item for clients, partners or the public, and does it relate to your business?
4. Is it not a voucher, tobacco or spirits?
5. If it is wine, does it fit within 5% of your tax base?
6. If you go above €17, is the amount budgeted as entertainment?

Frequently Asked Questions

Are promotional items up to €17 tax deductible in Slovakia?

Yes. Under § 21(1)(h) of the Income Tax Act, expenses on promotional items with a value not exceeding €17 per item are tax-deductible. The exceptions are vouchers, tobacco products and alcohol other than wine.

Is the €17 limit measured with or without VAT?

A VAT payer entitled to deduct measures €17 excluding VAT. A non-payer, and a payer without a right to deduct, measure €17 including VAT. The VAT Act says “17 eur bez dane” explicitly.

Does a promotional item have to carry a logo?

No. Since 2010 marking with the company name or trademark is not a condition. The expense must still relate to the company’s business, and a logo is the simplest proof.

What if a gift costs €20?

The full €20 is non-deductible, not only the €3 above the limit. If you deducted the VAT, you pay it on hand-over. It is booked as entertainment.

How is wine treated as a promotional item?

Wine up to €17 a bottle is a promotional item, but only up to 5% of the tax base for the tax period. The amount above 5% is added to the tax base in row 304 of the corporate return.

Sources

Legislation and Financial Administration guidance, verified on 15 October 2026 (all in Slovak):

• Act No. 595/2003 Coll. on income tax, § 21(1)(h), version in force from 1 January 2026: slov-lex.sk/ezbierky/pravne-predpisy/SK/ZZ/2003/595/20260101
• Act No. 222/2004 Coll. on value added tax, § 8(3), § 22(5), § 27(1) and § 49(2), version in force from 1 January 2026: slov-lex.sk/ezbierky/pravne-predpisy/SK/ZZ/2004/222/20260101
• Financial Directorate SR, guidance on promotional item expenses under § 21(1)(h), January 2019: financnasprava.sk (PDF)
• Financial Directorate SR, information on promotional item expenses of individuals, December 2018: financnasprava.sk (PDF)
• Financial Directorate SR, methodological guidance on the taxable amount under § 22 of the VAT Act, section 3 on § 8(3), December 2021: financnasprava.sk (PDF)
• Financial Administration, entertainment expenses (Q&A): podpora.financnasprava.sk/887877
• Financial Administration, promotional item expenses (Q&A): podpora.financnasprava.sk/455390
• Financial Administration, booking of non-deductible expenses (Q&A): podpora.financnasprava.sk/791358
• Worked example of the per-piece value including delivery (not a source of law): podnikajte.sk, 22 November 2019: podnikajte.sk

This article is general information, not tax advice. Confirm the treatment for your company with your accountant or tax adviser.

How Do You Plan a Run Under the Limit?

1. Tell us how many pieces you need, who they are for and what budget per piece excluding VAT you want to keep to.
2. OutsideDbox designs the shape and picks the material so the item fits the limit, or tells you straight away that it cannot be done at the size you want. You hold a sample before you approve the run.
3. Within 48 hours you get the price per piece excluding and including VAT, the material and the lead time, so your accountant has everything in one place.

Lead times and order terms are on the pricing page. If you do not have a logo yet, or want it prepared for 3D, see design and branding.