· The standard VAT rate has been increased to 21% and the reduced VAT rate to 15%.
· The scope for VAT has been widened, making more customers liable to pay in future.
· The VAT exemption for insurance and re-insurance has been amended.
· The electronic format rules concerning tax documents have been changed.
· VAT returns will have to be filed electronically from 2014.
· Calendar month will be the primary period for VAT payers, however, some taxpayers can also use the quarterly period.
· The time period for exemption from VAT, for transfer of real estate has been increased from three years to five years.
· There is a possibility to receive a final clarification from the tax authorities on whether a supply of scrap metal or waste will or will not be subjected to local reverse charges.
The other important changes include:
· In case where a tax haven jurisdiction is involved, withholding tax on passive income increased to 35% from 15% (for dividends, interest, royalties).
· On income more than 48 times the average wage in 2013 to 2015, there is a 7% “solidarity”
· Concerning excise tax provisions, there are new restrictions on the treatment of “green diesel” under preferential tax treatment in 2013. In 2014 the tax will be abolished.
· The real estate transfer tax rate has been increased from 3% to 4%.
· The limit on premiums of health insurance has been abolished for 2013-2015.
· Basic individual income tax allowance for pensioners has been abolished in 2013–2015.
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