We are all familiar with the term Freelancer, but who are Freelancers? A freelancer is a person who works independently as an independent professional, performing tasks and providing services to clients on projects or contracts, usually without permanent employment or a long-term employment relationship or contract. A freelancer can work in various fields, such as writing, design, programming, marketing, translation, photography, consulting, etc.

A key characteristic of a freelancer is that they have the freedom to independently organize their work, time and where they work from. Instead of being employed by one employer, a freelancer can have multiple clients and work on different projects simultaneously. It is important to note that “freelancer” is not a legal term and will not be found in current regulations. This way of working provides flexibility and the possibility of working on various projects, but also carries certain responsibilities, such as self-promotion, keeping track of finances, time management and meeting the needs of different clients, as well as the most important for us, independent payment of taxes and contributions.

A freelancer can their report income paid to them by certain entities such as legal entities from abroad, entrepreneurs from abroad, natural persons from abroad, domestic natural persons or other persons who do not calculate and do not pay taxes and contributions in Serbia.

There are three categories of freelancers in Serbia:

  • Domestic individuals (who are residents of the Republic of Serbia) who earn money by working in Serbia for a source of income from abroad (legal entity, entrepreneur, or individuals ) or from others who do not calculate and pay taxes and contributions in Serbia.
  • Domestic individuals – residents of the Republic of Serbia who recieve money from the payer of income from abroad (legal entity, entrepreneur, or individuals), i.e. from persons who do not calculate and pay taxes and contributions in Serbia.
  • Foreign individuals – non-residents who earn income by working in Serbia from a payer of income from abroad (legal entity, entrepreneur or individuals) or from domestic individuals, i.e. from other individuals who do not calculate and do not pay taxes and contributions in Serbia.

Registration on the portal www.frilenseri.purs.gov.rs and declaration of income are possible for all individuals of legal age, regardless of their employment, such as unemployed individuals, recipients of old-age pensions, pupils, students, non-employed persons, owners of legal persons, persons on maternity leave and child care leave, entrepreneurs, provided that the payers of the income are persons who do not have the obligation to pay taxes and withholding contributions in Serbia.

Any adult individuals, resident, or non-resident, can register on the portal, including:

  • unemployed individuals, regardless of whether they are registered with the National Employment Service or not,
  • old age pension beneficiaries,
  • pupils and students,
  • individuals who are employed (employees) – for part of the income they earn outside of employment,
  • owners, that is, co-owners of a legal entity – for part of the income they generate as individuals,
  • employees on maternity leave and childcare leave – for part of the income they earn outside of employment,
  • entrepreneurs – for the part of their income that is not included in their income from independent activity in accordance with Art. 37c and 40. paragraph 5 of the Law on personal income tax, provided that the actual payer of these incomes is a person who in the Republic of Serbia does not have the obligation to pay taxes and withholding contributions, as well as that the basis for such payments is the direct performance of work for an individual who does not have the obligation to pay taxes and withholding contributions in the Republic of Serbia.

In addition to meeting the requirements for registration on the portal http://www.frilenseri.purs.gov.rs and reporting income, it is important to check whether each individual income intended to be reported meets the requirements for self-taxation under this regime. Also, certain income, such as income generated through youth or student cooperatives, cannot be reported as income freelance activities.