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Tax Reform

The Trade and Investment Committee published the position paper “Improving Competitiveness through the Tax System”. The paper proposes an evaluation of the existing tax system and comprehensive tax reform, focusing on principles guiding the enforcement of rules by the tax authorities, as well as outlining general and sector-specific tax measures that AmCham believes can improve Croatia’s competitiveness and attractiveness in terms of entrepreneurship and investment.

In addition to recommendations received from various AmCham’s committees and individual members, the paper includes the messages of two other position papers published by the Trade and Investment Committee:
• “Using “Better Regulation” to Improve the Stability of the Croatian Tax System” communicates that better regulation, including evaluation studies, impact assessments and inclusive public consultations is needed for designing and implementing good tax legislation, ensuring that tax initiatives lead to desired effects and improve the business climate.
• “Correction of Tax Returns” notes that the tax authorities have a significantly longer deadline for the correction of tax returns than the taxpayers, and that such preferential application of regulations does not contribute to creating a positive and secure business environment. It recommends specific amendments to the General Tax Act that would set the same conditions and deadlines for both the tax authorities and taxpayers.