Lonely craftsmanship in unofficial communication is often used to mark the legal form of a registered activity performed by a natural person, even though the Crafts Act does not know such a form of craft. This is a derivative by which in the syntagm, the lump summation simultaneously signifies the legal form of performing a particular economic activity and the method of settling the tax liability on that basis. Crafts can be registered for any permitted economic activity in the area of production, traffic and provision of services. The crafts law recognizes free, tied and privileged crafts. The flat taxation option is regulated by the Income Tax Act and enables a craftsman whose annual receipts do not exceed the threshold for compulsory entry into the VAT system to pay income tax on a lump sum instead of establishing a tax liability based on the business books. Throughout this work, the tax system of the Republic of Croatia and the state taxes that make it, are the value added tax, the profit tax and the special taxes and excises. It also explains the concept of domestic labor and how it is performed and taxed. The taxation process itself is carried out through the lump-sum taxation of craftsmanship, which is also explained as the legislative framework for the business of craftsmen in the Republic of Croatia, the concept of lump sums and the conditions for lump sum taxation.