Tax breaks are effective for companies that increase the number of employees or those companies that employ persons who have not been employed during 2019.
There are also incentives for Serbian citizens living abroad, and if they return and find employment in Serbia.
They are projected to reduce their tax and contribution base by 70 percent over a five-year period.
The Bill amending the Personal Income Tax Act and the Bill on Compulsory Social Security Contributions provide, for example, for extending the deadline for using old tax benefits to hire new workers by December 31, 2020.
According to the authorities, the amended Law on Personal Income Tax defines more precisely who has the status of a lump sum, so it will be known whether and when they use their vacation, where they do their jobs, whether the work takes place on the premises of the employer, and whether a large part of the income the entrepreneur generates from only one employer.
In the first quarter of 2020, Savcic explains, the line ministry will work to prepare by-laws and regulations that accompany all these enacted laws. The abolition of tax returns for citizens is also one of the novelties that goes into effect. Then, all the deals that are concluded with the notary public will be forwarded to the local tax departments by automatic data exchange, which will save citizens time and money.
On the list of new legal solutions that enter into force in 2020 are the Law on Enforcement and Security, which introduces anonymous and electronic public bidding for real estate for sale in enforcement proceedings. The Law on Alternative Investment Funds will be applied from April 19, and it brings new financing possibilities, but also for medium-sized companies in the form of crowdinvesting, ie group financing through which more investors invest less sums of money, reports eKapija.
Implementation of the Law on Public Procurement, which should bring more efficient implementation of public procurement procedures, reduction of costs and administrative burden for both contracting authorities and bidders, greater participation of small and medium-sized enterprises in public procurement procedures, will start from July 1st, this year.
