Sasa Magazinovic, head of the SDP Bosnia and Herzegovina (BiH) Deputies’ Caucus in the House of Representatives of the Parliamentary Assembly of BiH (PABiH), yesterday presented to all fellow deputies in that house a law exempting food donations from paying taxes.
In addition, he sent an invitation for everyone to jointly propose this long-awaited legal solution, not only from those who run soup kitchens, but also from businessmen who donate food, but above all from end users, the PABiH announced.
“I believe that you are familiar with the initiative of the Mozaik Foundation on the amendments to the VAT Law in terms of tax exemption for food donated to soup kitchens, as well as all the benefits that this amendment to the law brings with it. The current situation is paradoxical, in which those who donate food are punished because it is financially more profitable to destroy the food, paying about five percent of the value of the food, than to donate it, for which 17 percent VAT is paid. Estimates say that food worth approximately 130 million BAM is destroyed annually,” Magazinovic stated.
“I believe that understanding all the political differences, it is important that we cooperate on such topics. People in a state of need, hungry people, and unfortunately there are a lot of them, who expect that from us. We should be aware that in addition to the end users, with this law we also help businessmen, but also the budgets of local communities, from which money is most often allocated for soup kitchens. That is why it is important to show unity, because the success of the project “No one hungry, no one alone” depends on all of us, together,” he added.
In the coming days, Magazinovic intends to hold a meeting regarding the Ordinance on the implementation of the VAT Law, the amendment of which should also accompany the proposed amendment to the law and define the implementation of this process in practice. This is not the competence of the PABiH, but he believes that information should be available at the moment when the law is declared.
“Today, when both houses of the PABiH have been constituted, as well as the working bodies and when there is agreement from the Indirect Taxation Authority (ITA), I believe that the conditions for the law to enter the procedure have been met. For this reason, I am asking you to declare your willingness to be one of the proposers of the law and participate in the activities for the adoption of the law within the next seven days,” Magazinovic concluded yesterday.
E.Dz.
