In the Official Gazette no. 197, dated 12.11.2020, some changes in the tax legal framework have been published, concretely:
- Amendment to law no. 9632, dated 30.10.2006, “ON THE LOCAL TAX SYSTEM”.
The first paragraph of Article 10 of the law “On simplified profit tax for small business”, provided the obligation to pay simplified profit tax for small business, while the last amendment stipulates that every business becomes subject to all obligations provided in Chapter 3 of the law.
Article 11, for the Tax Rate, provided for the simplified p
rofit tax for small business with an annual turnover from 2-8 million ALL to 7.5%, and for entities with an annual turnover from 0-2 million ALL, is 26000 ALL per year, while now it is foreseen for all small businesses with annual turnover from 0-8 million ALL, the amount is 0 ALL.
Article 16, for the Declaration, provided that taxpayers with a turnover of 2-8 million ALL, are obliged until February 10 of the year following the tax period, to submit an annual tax return detailing the total income, expenses and expenses. deductible, taxable profit, tax payable, and any other details required by the Ministry of Finance, while now this is provided for all taxpayers who are subject to simplified small business profit tax.
Article 17, on Tax Administration, provided that the General Directorate of Taxes, through the Regional Tax Directorates, is in charge of assessing, collecting, controlling, collecting and transferring to the local government budget account the revenues from the simplified profit tax. small business, while after the changes it is foreseen that the above institutions are charged only with the assessment and control of taxpayers, subject to the simplified tax on the profit of small business.
This amendment shall enter into force on 1 January 2021.
- Addition to law no. 92/2014, “ON VALUE ADDED TAX IN THE REPUBLIC OF ALBANIA”.
In Article 49 of the law, “On Reduced Scales”, point 9 has been added, which states the reduced rate of value added tax, which is applied for the provision of construction works services for state investments of sports clubs or federations sports, defined in the legislation of the field for sports, which is at the level of 6%.
This amendment shall enter into force on January 21, 2021.
- Change in instruction no. 24, dated 02.09.2008, “ON TAX PROCEDURES IN THE REPUBLIC OF ALBANIA”.
As the date of voluntary non-payment of tax liabilities, the first working day after the date set in the notification by the tax administration will be taken. If on that date the taxpayer has not made the obligatory tax payment, the head of the tax office of the local government issues an order to block the bank accounts, as a measure to guarantee the forced collection of the tax liability.
The order includes the full identity of the taxpayer, the accounts affected by the issuance of this order, the reason for its issuance, the type of obligation being executed, the date when the taxpayer should have paid the tax liability and the amount that banks should block.
In case the taxpayer’s obligation is fully executed, the tax administration immediately sends an unlock order to the address of the banks where the taxpayer is a customer. In case the taxpayer’s obligation is partially executed, the tax administration sends a new blocking order to the banks, where the taxpayer has a bank account for the amount of unpaid tax liability that results after the partial execution. In case the taxpayer does not have balance in the bank accounts in any of the banks, the accounts will continue to be blocked based on the blocking order issued by the tax administration.
If after the application to the entity of all coercive measures for the collection of the obligation, the tax liabilities of the legal entity are not fully repaid, the tax administration transfers the remaining tax liability of the entity to the partner, shareholder and administrator.
The blocking order is valid for a period of 12 months, after which the accounts and deposits are automatically unlocked by the bank, without the need for an additional notice.
This instruction enters into force upon publication in the Official Gazette.
For detailed information contact as follow:
Email: info@arsfirm.al
Phone: +355 69 247 6387
Web: www.arsfirm.al
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