The subject matter deals with profit tax accounting in Croatia along with its comparison to a comprehensive example in accordance with exsisting Croatian legislation prior to January 1st 2017 and since January 1st 2017. The paper carried out an analysis of the relevant scientific and professional literature and it used a method of comparison to conclude the tax rate impact on profit, various tax reliefs and tax base salvations as well as tax liability amount. Croatia has lowered its tax rate from 20% to 18% or for companies with a lower income of 3.000.000,00 kuna to 12%. Final paper has shown that profitable entrepreneurs with close to 3.000.000,00 kuna turnover are better able to calculate and keep traffic below 3.000.000,00 kuna to pay income tax at a 12% rate. The work also shows the differences in the advance payments of corporate income tax paid by the companies according to the old calculation of 20% and new rates of 18% and 12%. Also, the work presents a reduction in the tax base for the payment of profits over the use of tax incentives under the Investment Incentive Act, the Act on Amendments to the Law on Scientific Activity and Higher Education and the State Aid for Education and Training Act. According to these laws, it is possible to reduce the tax base or even to free from the payment of income tax for a period of up to 10 years in the case of an investment of more than 8.000.000,00 euro and employing more than 75 employees.