North Macedonia VAT Guide for 2026: Rates, Registration & Compliance
North Macedonia's standard VAT is 18%, with reduced 10% and 5% bands. This guide explains registration, invoicing, and filing obligations.
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Key Takeaways
North Macedonia applies a standard VAT (DDV) rate of 18% to most goods and services, including SaaS and digital products, with a 5% reduced rate for food, water, medicines, and books. As a non-EU country, the EU's EUR 10,000 threshold does not apply — a business registers for VAT once annual turnover reaches MKD 2,000,000, with voluntary registration also allowed below that. Financial and insurance services, healthcare, and education are exempt; exports are zero-rated.
Taxability Snapshot
SaaS
Taxable
Digital Goods
Taxable
Sales Tax Rates
North Macedonia applies a standard VAT (DDV) rate of 18% to most goods and services, including SaaS and digital products sold to consumers [2]. Reduced and zero rates apply to specific categories:
Rate | Applies to |
|---|---|
18% (standard) | most goods and services, SaaS, and digital services |
5% (reduced) | food, water, medicines, books, household electricity, passenger transport, accommodation, computers and software |
10% (reduced) | restaurant and catering services and certain non-basic food |
0% (zero) | exports |
Since January 2024, non-resident providers of electronic and telecommunication services to consumers must register from the first sale through a local fiscal representative, who is jointly liable [2][3].
Registration & nexus threshold
North Macedonia is outside the EU, so the EU One Stop Shop and the EUR 10,000 threshold do not apply. A business registers for VAT once annual turnover reaches MKD 2,000,000; voluntary registration is also allowed [2]. Registration steps are in the How to Register section.
Filing frequency & deadlines
VAT is reported monthly where prior-year turnover exceeded MKD 25,000,000, and quarterly otherwise. The return and payment are both due within 25 days of the period end [2].
Exemptions
Exempt supplies include financial and insurance services, healthcare, and education [2]. Exports are zero-rated [2].
Penalties
Misdemeanour fines scale with business size, from EUR 300 to EUR 1,000 for micro traders up to EUR 3,000 to EUR 10,000 for large traders, and foreign providers that register late face VAT liability backdated to January 2024 [3].
Sources
[1] Public Revenue Office — VAT rates (18% standard, 5% and 10% reduced)
[2] Public Revenue Office — VAT registration (MKD 2,000,000 threshold)
[3] Public Revenue Office — VAT filing and deduction (DDV-04)
Verified July 2026 against the North Macedonia Public Revenue Office guidance.
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