Correct. That was also one of the roots of the Serbo-Croat conflict in the making. Whereas Serbs were used a free yeoman and farmer-wariors, exempt from taxes, since the Thirty Years War (17th century), working directly for the Habsburg monarch. Croatia, although nominally still a "state," was in effect a province dominated by Austria or Hungary. The official language in Croatia was either Latin, German or Hungarian, depending on the time period.
Because of their different social status, and because many a Serb in Austry-Hungary was a professional, it is understandable that their political agenda did not necessarily coincide with that of the predominantly serf Croatian populus. This caused great resentment, seeing Serbs as "privileged" and Croats as downtrodden. I see it as just plain envy that grew into a genocidal hate embodied in the "program" of Ante Starcevic and Josip Frank, their progeny, the so-called Independent State of Croatia 1941-1945, which continues to this day.