What You Need to Know if You're a Freelancer in Montenegro – Changes for 2025

The number of freelancers in Montenegro has been significantly increasing in recent years, and with this growth come new legal obligations and benefits. If you are already working as a freelancer or plan to enter this field, it is important to know what awaits you in 2025.

WHO IS A FREELANCER?

A freelancer is a domestic or foreign individual who independently performs innovative activities, providing intellectual services via the internet. Freelancers are not employed by a single company but work for various clients – domestic or foreign – on a project or contract basis.

The advantages of freelancing include a flexible schedule, choice of projects, and access to the global market. The most common fields are:

• marketing and copywriting,
• design and photography,
• IT and programming,
• translation, education, and many others.

INCOME AND EXPENSES OF FREELANCERS

• Income earned via the internet is treated as income from business activity.
• Expenses are recognized at 15% of gross income.

TAXATION OF INCOME

Freelancers pay income tax at a rate of 15% on the gross base.

TAX OBLIGATIONS OF FREELANCERS

• Freelancers must submit their tax return by April 30 of the current year for the previous year.
• The tax must also be paid by that date.

Delays in filing the return or paying the tax may result in additional costs and interest.

INCENTIVE MEASURES FOR FREELANCERS IN 2025

The good news for freelancers is that significant tax reliefs are planned for 2025.
Freelancers can receive reductions of up to 80% on taxes and social security contributions, which include:

• personal income tax,
• surtax on income tax,
• social security contributions.

HOW TO QUALIFY FOR RELIEFS?

To make use of these benefits, you need to:

1. be registered in the Register of Innovation Activities,
2. carry out innovative activities that involve providing intellectual services in the fields of research, development, and innovation.

Freelancing in Montenegro offers great flexibility and the possibility of working with clients worldwide, but it also requires knowledge of tax rules.
Our agency specializes in:

• preparing tax returns,
• calculating taxes,
• preparing applications for registration in the Register of Innovation Activities.