The self-employed person is taxed as a business and not as an employee, therefore the rate is 15% on taxable profit up to 1,400,000 lekë, 23% only on the excess, or 1% until December 31, 2029, when annual gross income remains below 14,000,000 lek.
This section brings together the three factors that determine the actual costs—namely the applicable regime and rates, the status along with the contributions paid even in years with zero tax, and the comparison, in figures, between wages and self-employment for the same gross income.
Applicable rates, the zero regime until 2029, presumed expenses by activity, and the status of liberal professions following Constitutional Court Decision No. 52 of June 27, 2024.
Read →Declarations and deadlines, the reclassification rule when income comes primarily from a single client, the contribution bases, and obligations that remain fully in effect even with zero tax.
Read →The calculation for both formats, the cost borne by the payer, what remains net for the individual, the risk of requalification, and when each format makes sense.
Read →AlProfit Consult calculates both scenarios using your figures, selects the expense method, files quarterly contributions and the annual statement, and assesses the risk of requalification before it becomes an obligation.
