Do you have a tax debt? This is the last chance to pay it off in 60 instalments without interest

#RaškoKonjević #TaxDebt #FinanceMinister #DraftLaw

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The Government of Montenegro has prepared a draft law on tax support measures. As finance minister Rasko Konjevic explained, the reason for such a decision is the fact that tax debt until 27 July 2016 amounted to about €777m. Out of that, €236m can be collected. The law will be passed as lex specialis.

“After passing the law, the Ministry of Finance will publish a public notice in order for everyone to get a chance to apply. One of the conditions is that the debtor pays 10 percent of the capital claims in maximum 60 instalments. The incentive to participate is the fact that the law stipulates writing off the interests and legal costs associated with the major debt. Out of €777m, interests account for about €146m. This is the last chance for irregular payers to sign an agreement with the state”, said Konjevic at a press conference.

The draft law stipulates minimum instalment.

“For private individuals the minimum instalment amounts to €50, whereas for legal entities, which have over 50 employees, it amounts to €1,000”, he said.

He explained what happens if a debtor is late with payments.

“If the delay is longer than three months, the contract will be terminated, the interests on the basic debt will be returned and the bankruptcy procedure will be launched”, said Konjevic.

On the other hand, the draft law encourages those who have regularly paid taxes so far. Those are companies from the so-called white list.

“The amount will range within the limits allowed provided that it does not turn into a state aid. This means that the incentive may amount to maximum €200,000. The total stimulation would amount to about €7m”, explained Konjevic.

The minister also added that the public hearing is to follow. According to him, the draft law would be supported by employers and the Chamber of Commerce, as well as by a part of the academic community.

Source: Cafe Del Montenegro