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AmCham presents III. Set of Recommendations for Economic Relief
May 27, 2020

AmCham presents III. Set of Recommendations for Economic Relief

AmCham has published III. Set of Recommendations for Economic Relief, with emphasis, amog other, to measures for additional reduction and abolishment of non-tax and parafiscal charges.

Entrepreneurs in Croatia pay about 440 different parafiscal charges, which significantly hinder their business operations. Certain taxes have a generally useful purpose, so abolishing them would create a budget deficit that would have to be financed from other sources. There are also numerous taxes that do not represent a big financial burden, but the purpose of their payment is not transparent. Many indirect taxes and payments represent an administrative burden as well, in terms of monitoring payment obligations and overly complex procedures. Some of the biggest problems the entrepreneurs point out are:  too many parafiscal charges, lack of transparency,  financial burden, procedural complexity and administratively demanding monitoring of the payment obligation. For that reason, it is necessary to focus on additional reduction of the total number of parafiscal charges and financial burden caused by the taxes.

Recommendations refer also to introduction of the possibility of tax loss carryback, the deferral, i.e. the exemption from advance payments of corporation tax in 2020, offset of mutual tax liabilities and exemption from payment of VAT on earthquake donations.

AmCham's III. Set of Recommendations for Economic Relief is available here.

 

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