Montenegro capital gains tax calculator

Gains on immovable property, interests in a legal entity and securities pay a flat 15% of the gain from 1 January 2022. In 2021 the rate was 9%. The tax is a flat rate of the gain, separate from the progressive scale on salaries and self-employment income, so a gain does not stack on your income.

Your only and main place of residence is exempt, with no minimum holding period. A transfer between spouses or life partners directly connected with marriage, life partnership, divorce, termination of the life partnership or inheritance is exempt, as is a gift to heirs in the first order of kinship (spouse and children). All three are in Article 37g.

A capital loss may be deducted only from a capital gain realised in the same tax year (Article 37h). Montenegro does not carry an unused capital loss forward: the five-year carryforward in Article 33 applies to losses from business transactions, not to personal capital losses.

2025-2027 rate: 15%, unchanged from 2022. The wording of Article 10 now in force applies from 1 January 2025 (editor's note to the consolidated Article 10: 'ova verzija clana primenjuje se od 1.1.2025. godine'; the 88/2024 amendment, Article 26, entered into force on 1 January 2025). Article 10(3) reads: 'iznosi 15% od poreske osnovice za prihode iz clana 12 stav 2 tacka 2 alineja 2 i tac. 3 do 10 ovog zakona' (15% of the tax base for the listed categories, capital gains among them), and Article 50a provides that the tax on capital gains is calculated annually at the rate of 15% and paid at the same time as the annual tax return. The rate itself was not changed by the 2025 version: the amendment added the new internet/gaming categories to Article 12 and renumbered the list, while the capital-gains rate stayed 15%. Source: https://wapi.gov.me/download/d93f2f4f-b97b-44fc-9409-7bf26be031c1?version=1.0 . Note: the consolidated English text published by the Tax Administration reaches Official Gazette 70/26 and shows Article 10(3) at 15% for Article 12(2) items 3 to 9 (capital gains is item 5), with item 10 (games of chance) moved to a separate 12% rate. Source: https://www.gov.me/en/documents/eb212b5b-dcc1-4be1-9aa0-48e151783111 .

The 1 January 2025 version of Article 37a extended the capital-gains definition to 'sale or transfer' of property and added the market-value override for a holding in a legal person, and Article 37e(3) now lets the tax authority substitute the market sale value where the contracted value is below market; Article 37d kept the annual retail-price adjustment of the acquisition price and the 80%-of-sale-price fallback. These changes amend the base, not the 15% rate. Source: https://wapi.gov.me/download/d93f2f4f-b97b-44fc-9409-7bf26be031c1?version=1.0 .

Real property (Articles 37b-37d): the taxable gain is the sale price less the acquisition price. The sale price is the contracted price reduced by documented reconstruction costs and the costs of sale (Article 37c(1)); if the contracted price is below market the competent tax authority determines the sale price (Article 37c(2)); on an exchange the market price of the property exchanged is used (Article 37c(3)). The acquisition price is the price at which the taxpayer acquired the property, or the price established by the tax authority at acquisition under the property-transfer-tax law, or the construction cost for a self-built property, or (for a gift or inheritance) the price at which the donor or testator acquired it (Article 37d(1)-(3)). The acquisition price is adjusted annually with the growth of retail prices from acquisition to sale using the statistics authority's data (Article 37d(4)); the official sources reviewed do not publish numeric retail-price index values for 2021-2027, so this calculator does not apply the annual adjustment and the user should enter an acquisition price already adjusted where the index is available. If the acquisition price cannot be determined it is 80% of the sale price (Article 37d(5)). Property is charged on the gain, not on the value. Source for 2026: https://wapi.gov.me/download/d93f2f4f-b97b-44fc-9409-7bf26be031c1?version=1.0 .

Securities (Articles 37a and 37f): shares and other equity securities are within the capital-gains definition; the gain is the sale price less the acquisition price. For securities listed on a stock exchange the acquisition price is the documented price the taxpayer actually paid; for unlisted securities it is the documented price actually paid, and if that price is not documented the par (nominal) value is used. Where the taxpayer bought securities of the same issuer several times at different prices, the acquisition price is taken in order of acquisition under the FIFO method (Article 37f(4)); this calculator's lot matcher applies FIFO. The value of shares paid as a dividend is the value at which the taxpayer acquired them (Article 37f(5)).

Interests in a legal entity (Article 37e): the gain is the difference between the sale value and the acquisition value of the interest, each as set in the sale contract; an interest acquired by founding has an acquisition value equal to the founder's contribution plus any increase (Article 37e(4)). Where the contracted sale value is below market, the tax authority determines the sale value.

Exemptions (Article 37g): no capital gains tax is charged where the immovable property served the taxpayer as his only and main place of residence (habitual residence); on a transfer of property between spouses or life partners directly connected with marriage, life partnership, divorce, termination of the life partnership or inheritance; or on a transfer by gift to heirs in the first order of kinship. The main-residence relief states no minimum holding period, no anniversary and no day-count edge, so it applies however short the ownership; this calculator models it as a per-sale election on the property card. The 2021 text covered spouses only and did not name life partners; the life-partner wording is the current version. Source: https://wapi.gov.me/download/d93f2f4f-b97b-44fc-9409-7bf26be031c1?version=1.0 and https://web.archive.org/web/20211010022122if_/http://arhiva-mif.gov.me/ResourceManager/FileDownload.aspx?rid=430905&rType=2&file=1.%20Zakon%20o%20porezu%20na%20dohodak%20fizickih%20lica.pdf .

Losses (Articles 37h and 33): a capital loss from disposing of property may be deducted from a capital gain from disposing of property realised in the same tax period (Article 37h), and nothing more. The five-year carryforward in Article 33 is a rule for losses resulting from business transactions, not a capital-loss carryforward, so an unused capital loss does not carry forward; this calculator sets noLossCarryforward. Same-period losses offset the year's gains across immovable property, legal-entity interests and securities, because the law keeps one capital-gains category rather than per-class baskets.

No reinvestment relief. The consolidated Personal Income Tax Law contains no reinvestment deferral, rollover or exemption for capital gains: Articles 37a-37h list only the same-period loss offset (Article 37h) and the exemptions in Article 37g, and no provision conditions the tax on reinvesting the proceeds. The build manifest's summary ('15% on gains; reinvestment deferral') is not supported by the statute; it appears to have carried over the separate 90-day reinvestment rule that Kosovo applies. This calculator therefore models no reinvestment election and no election could be sourced. Crypto and generic valuables are likewise not named in the Article 37a definition (immovable property, interests in a legal entity and securities only); no dedicated crypto CGT rate was found, so the calculator does not tax crypto rows and says so in its copy.

Filing and payment (Articles 42-43, 50a): a resident who realises capital gains must file the annual personal income tax return. The return is filed by the end of April of the current year for the previous year (Article 43(2)), and the capital gains tax is paid at the same time as the return is filed (Article 50a, Article 42(5)). Caveat not modelled: a local surtax on the assessed personal income tax is levied by the municipalities (reported at 13% generally and 15% in Podgorica and Cetinje); whether and how it attaches to capital gains is decided by the local decision and the law on financing local self-government, neither of which was used to compute a figure here.