Capital
Belgrade
Currency
Serbian dinar
Languages
Serbian
Population size
6.9M
Average Monthly Salary
€600
EU
Not a Member
Region
Southeast-Europe
Gift Giving Norms
Business gifts often given end of year
Major Corporate Gift Days
New Year, National Day
Customs Complexity
Medium
VAT - Standard Rate
20%
Duty Free Threshold
€45
Ave Duty Rate
5%
1. Employee Merch vs. Gifts
Under Serbian law, non-cash benefits provided to employees may be considered taxable income if they lack a clear work-related function. The Serbian Tax Administration (Poreska uprava) evaluates whether an item qualifies as part of an employee’s remuneration or is purely for corporate identity or necessity.
1.1 Merchandise for Employees
Work-Related (Generally Non-Taxable)
Uniforms & Essential Gear
If branded apparel or special equipment is crucial for daily tasks (e.g., safety clothing, official uniform), it is generally non-taxable.
Branded Accessories
T-shirts, pens, or mugs carrying a clear company logo, uniformly provided to staff, can be seen as corporate identity items rather than personal benefits.
Potentially Taxable Benefits
High-Value or Personal-Use Goods
Electronics, premium fashion, or items with minimal connection to an employee’s day-to-day work might be deemed part of taxable salary. Employers would then need to manage additional wage tax or social contributions.
Frequent Gifting
Multiple merchandise distributions throughout a single tax year could raise concerns of disguised remuneration. Consult local tax advisers if planning repeated gift deliveries to employees.
1.2 Gifts for Non-Employees (Clients, Partners, Event Attendees)
Tax & Deductibility
Corporate gifts aimed at marketing or relationship-building are often tax-deductible, subject to reasonable cost limits and documentation. Extravagant or unjustified gifts risk scrutiny from the Serbian Tax Administration.
Compliance & Anti-Corruption
Serbia enforces anti-corruption measures, particularly if recipients are public officials or involved in regulated industries. Keeping records of high-value or repeated gifts is recommended to avoid improper influence accusations.
1.3 Marketing Merch
Items (e.g., branded T-shirts, tote bags) given out at fairs, launch events, or conferences typically fall under marketing expenses, provided you keep adequate proof of their promotional role (e.g., invoices, distribution lists).
2. Shipping, Customs & Duties
Though Serbia is not in the EU Customs Union, it has SAA agreements with the EU potentially reducing customs duties on certain goods originating in the EU.
2.1 Shipping
2.2 Importing
Import Duties & VAT
Merchandise from outside the EU typically faces customs duties plus Serbian VAT (commonly 20%) on (value + duties + shipping). Confirm the duty-free threshold for personal or commercial imports.
2.3 DDP vs. DAP
Delivered Duty Paid (DDP)
The sender covers import taxes/fees, simplifying receipt for the Serbian consignee.
Delivered At Place (DAP)
The recipient pays duties/VAT upon arrival, potentially delaying shipments if they are unprepared.
2.4 With Monday Merch
We ship from Rotterdam (the Netherlands) and can handle the EUR.1 certification process if applicable—ensuring your shipment remains tax compliant and reduces potential duties.
3. Cultural & Local Etiquette
3.1 Gifting customs
4. Sustainability & Local Regulations
4.1 Sustainability & Regulations
5. HR & Employee Relations Considerations
5.1 HR & Employee Relations
6. Summary and Key Takeaways
6.1 Summary & Takeaways
7. Frequently Asked Questions
7.1 Questions & Answers
Do employee shirts get taxed?
If purely job-related, typically not; personal goodies might be taxed as income.
B2B gift rules?
Deductible for promotional or relationship aims, if costs remain reasonable.
Cultural pointer?
Serbians value personal rapport—practical, mid-range gifts that show genuine goodwill resonate.
