“Highways of FBiH“ entering the VAT System?

“Indirect Taxation Authority issued a decision that mentioned company became a VAT registered from 1st April 2015, at the same day when the company “Highways of RS“ also became VAT registered. At yesterday’s meeting, representatives of the company “Highways of FBiH“ tried to see whether it is possible to prolong their entry to the VAT system until 1st January 2016, due to certain technical difficulties and problems that are not yet solved in this company in terms of preparation for issuing clips on which VAT will be separately shown“, said Ratko Kovacevic, spokesperson of ITA.

However, regarding to the existing legal provisions, ITA had to register this company from 1st April 2015, and there are no legal conditions for prolonging the registration.

Otherwise, until now this company was a company that does not operate commercial and was not established for profit, but it has been performing its activities based on the approved Plan and program by the FBiH.

Based on the Decision of the Indirect Taxation Authority, from 4th February 2011, PE “Highways of FBiH“ is not the subject to VAT. It is clear that this decision will mean the price hike of toll, but also the building in the FBiH.

Toll collection brings a solid annual profit, so the Federation cashed more than 20 million BAM annually.

(Source: ekapija.ba)