How Croatian Diaspora Can Return to Croatia: Tax Relief, Residency & Business Planning

Returning to Croatia has become significantly more attractive due to new tax measures, financial incentives, and simplified residency pathways.
For Croatian citizens living abroad — and descendants who do not yet hold citizenship — there are now structured routes available to relocate with greater financial and legal clarity.
5-Year Income Tax Exemption for Returning Croatians
From 1 January 2025, eligible returning Croatian citizens may benefit from a five-year income tax exemption after re-establishing residence in Croatia.
General Eligibility Requirements
Applicants typically must:
- Be Croatian citizens
- Have previously resided abroad
- Meet additional administrative criteria
This measure is designed to reduce the financial burden of returning and encourage skilled professionals, entrepreneurs, and families to relocate.
However, eligibility and timing are critical. Decisions made before relocation can directly impact access to this benefit.
Biram Hrvatsku Financial Incentive
In addition to tax relief, the Biram Hrvatsku (“I Choose Croatia”) programme supports Croatian citizens who wish to return and start their own business.
This programme is specifically designed for Croatian citizens living abroad who plan to relocate to Croatia and establish self-employment or open a company.
Support may include:
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Financial assistance for starting a business
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Incentives for self-employment (e.g. obrt or company setup)
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Support tied to operating a business in eligible areas
It is a structured incentive aimed at encouraging economic contribution from returning Croatians. Its for entrepreneurs and skilled professionals, combining this incentive with the 5-year tax exemption can create a strong financial foundation for returning.
Because eligibility criteria, business structure, and timing are critical, proper planning before relocation is essential to avoid losing access to this opportunity.
Temporary Residence for Diaspora Descendants (If You Don’t Yet Have Citizenship)
If you are a descendant of Croatian emigrants but do not yet hold Croatian citizenship, you may qualify under the simplified diaspora temporary residence pathway introduced in 2025.
This pathway allows eligible applicants to:
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Obtain temporary residence in Croatia
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Live and work legally
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Establish tax residency
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Prepare a Croatian citizenship application
For many diaspora members, this provides a practical first step — relocate first, complete citizenship second.
Why Return & Business Planning Is Essential Before You Move
Relocating to Croatia is not just a lifestyle decision — it has tax, residency, and business implications.
Before moving, you should understand:
- How foreign income is treated
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Whether you qualify for returnee benefits
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How your business activity should be structured
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When applications must be submitted
Making decisions in the wrong order can result in:
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Loss of eligibility for incentives
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Tax complications
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Business registration delays
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Compliance issues
Proper planning ensures your relocation, tax position, and business structure are aligned from the beginning.
Who Should Consider Structured Return Planning?
Return & business planning is particularly important for:
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Croatian citizens returning from abroad
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Entrepreneurs relocating existing businesses
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Freelancers and consultants with international income
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Remote workers
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Families planning long-term relocation
The earlier strategic planning begins, the more options remain available.
Combining Residency, Tax Benefits & Business Structure
Many returnees now combine:
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The 5-year income tax exemption
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Biram Hrvatsku financial support
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Diaspora temporary residence (if applicable)
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Future citizenship strategy
When coordinated correctly, this creates a stable, legally compliant, and financially optimized return to Croatia.
How LetsGo2Cro Supports Returning Croatians & Descendants
Returning to Croatia requires coordination across multiple areas — residency, incentives, tax timing, and business planning.
LetsGo2Cro provides structured guidance to help you:
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Assess eligibility for returnee incentives
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Understand residency pathways
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Plan relocation timing strategically
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Align business activity with Croatian regulations
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Avoid common administrative and compliance mistakes
We focus on planning and preparation — ensuring your move is structured correctly from the start.
Ready to Plan Your Return to Croatia?
Whether you are:
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A Croatian citizen considering return
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A descendant applying for temporary residence
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An entrepreneur planning relocation
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A professional assessing tax incentives
The first step is understanding your specific situation clearly.
Book a Consultation
In your session, we will:
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Review your residency and citizenship status
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Identify potential incentives
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Discuss tax and relocation timing
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Outline business structuring considerations
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Create a clear action plan
📩 Schedule your personalized consultation with LetsGo2Cro today.
Your return to Croatia should be structured, strategic, and well-planned.