Registration of VAT payers by September 30

The Head of Serbian Tax Administration Vladimir Ilic stated that it is in the taxpayers’ best interest to register for Value Added Tax (VAT) since only the registered ones will be able to exercise their right to tax deductions.

Ilic repeated, at today’s press conference that VAT will create an equal economic environment for all taxpayers, since it will reduce gray economy and eliminate direct competition with the ones not paying taxes, and reminded that the deadline for the registration of VAT payers expires on September 30.

He said that, up to September 14, more than 1,100 taxpayers registered, and that owing to VAT, budget revenues will increase by 30%.

Fines for legal entities that fail to register before September 30 range from 100,000 to one million dinars, where as fines for entrepreneurs range from 12,500 to 500,000 dinars, and for responsible persons in companies between 10 and 50 thousand dinars.

Entities under obligation to register for VAT are all entities that had a turnover over a million, but under two million dinars in the last 12 months, i.e. the ones that estimate their turnover will exceed one million dinars in the next 12 months, repeated Ilic and added that registration forms can be obtained in any branch office of the Tax Administration, as well as on its Web Site.