A 0% Corporate Tax Rate Is Real, and Here's Exactly How It Works.
Under Albanian Law No. 29/2023, companies with annual gross revenue below 14,000,000 ALL (roughly €140,000 at current rates) pay 0% corporate income tax. Above that threshold, the standard flat rate is 15% — still one of the lowest in Europe compared to Italy at 24% or Germany at ~30%. This isn't a temporary holiday tied to a special zone — it's a standing rule in the tax code. Check where your revenue falls →
Company ownership doesn't affect eligibility. A UK-owned consultancy, a US-owned e-commerce business, or a Swiss-owned agency qualifies on exactly the same terms as an Albanian-owned company, as long as revenue stays under the threshold. For early-stage businesses, freelancers scaling into a company, or small teams billing clients abroad, this often means the corporate tax line on your P&L is simply zero.
The Threshold Is Based on Revenue, Not on Profit or Industry.
What counts against the 14,000,000 ALL threshold is gross annual revenue — total invoiced turnover, not net profit. A consulting business billing €120,000 a year with high margins and one billing the same amount with thin margins are treated the same way for this purpose. There's no separate list of eligible industries: the rule applies broadly across sectors, from digital services and consulting to trading and light manufacturing.
This is also why timing your company registration correctly matters. We review your projected revenue for the year and confirm exactly where you stand relative to the threshold before you register — so there are no surprises when your first tax filing comes due.
Outgrowing the 0% Rate Isn't a Cliff Edge.
Once annual gross revenue exceeds 14,000,000 ALL, the company moves onto Albania's standard corporate income tax rate of 15%, flat — still competitive compared to most of Western Europe, and applied only going forward rather than retroactively on past income. Approaching that threshold is exactly when structuring decisions (timing, invoicing, group setup) matter most — talk to our tax advisor before you cross it →
Separately, dividends distributed to shareholders are subject to their own withholding tax, regardless of which corporate tax rate applies to the company itself — this is a distinct line item worth planning around from the start, particularly if you intend to pay yourself dividends rather than a salary. We walk through both numbers with you in your free consultation, so you know the real, all-in picture before you register.
From Eligibility Check to a Registered, Compliant Company
Here's exactly what happens after you request your free consultation — no surprises, no unclear next steps.
You tell us your projected revenue and business activity. We confirm whether you qualify for the 0% rate and flag anything that could affect eligibility later in the year.
Within 24 hoursYou sign the power of attorney remotely. We handle company formation, NIPT issuance, and VAT registration if applicable, with the 0% corporate tax position confirmed from day one.
3–5 business daysOngoing bookkeeping and annual filings that correctly reflect your 0% rate — and a team that flags it early if your revenue trajectory means the standard rate will apply next year.
ContinuousForeign Founders Who Structured
for the 0% Bracket With Us
“I worked with the ALBTAA team to incorporate my company, which I set up to manage my property investments in Albania. Enejd supported me with consulting services beyond the company incorporation process and assisted me with communications and contacts with local property agents, notaries and property owners.
As a foreign investor, having local support made the process of setting up a business and investing in property in Albania much easier. The ALBTAA team was professional, responsive and helpful throughout the process, providing practical guidance and connecting me with the right local professionals.
I would recommend ALBTAA to other foreign investors looking for professional assistance with company incorporation, business setup and property investment in Albania.”
“I am Ali Abdelrehem, Director and Founder of Sira Capital. ALBTAA fully established my company in Albania remotely, making the entire company formation process simple and straightforward.
The team was truly excellent, professional and very responsive throughout the process. As a foreign investor, I greatly appreciated their support and clear communication, especially as everything was handled remotely.
I would highly recommend ALBTAA to anyone looking for professional assistance with company formation in Albania, particularly foreign investors who want to establish and manage a business remotely.”
What Founders Ask Us About
Corporate Tax in Albania
Companies with annual gross revenue below 14,000,000 ALL (roughly €140,000) pay 0% corporate income tax, under Albanian Law No. 29/2023. Companies above that threshold pay the standard 15% flat corporate tax rate. Check where your revenue falls →
No, Albania is not a tax-free country in general, but it does offer a 0% corporate tax rate for smaller companies under the statutory revenue threshold, along with a competitive 15% flat rate for larger businesses compared to much of Western Europe. See if your company qualifies for 0% →
Once annual gross revenue exceeds 14,000,000 ALL, the company moves to the standard 15% flat corporate income tax rate. Structuring decisions matter most right before you cross it — talk to our tax advisor now →
Yes. The 0% corporate tax rate under Law No. 29/2023 applies based on company revenue, not ownership — foreign-owned companies qualify on the same terms as Albanian-owned ones. See how to register your company →
Yes, dividends distributed to shareholders are subject to a separate 8% withholding tax in Albania, regardless of the corporate tax rate applied to the company's profits. See the full dividend tax breakdown →
Ready to Check Your
Corporate Tax Eligibility?
Let ALBTAA confirm whether your business qualifies for the 0% rate and handle company registration from there — one consultation, no obligation.