The Croatian government has recently proposed changes to the Real Estate Transfer Tax Law that will apply from 1 January 2015. According to the proposed changes, real estate transfer tax will only apply for the sale of buildings and the land on which the building stands, and the sale of land (excluding land used for construction) when such sales are not subject to value added tax (VAT).
Amendments to Croatia's VAT law subjects real estate sales to VAT when sold prior to its first use, or wi…