The General Directorate of Taxes notifies all taxpayers that from 1 January 2019 the New Fiscal Package has entered into force.
The main legal changes relate to:
Tax Procedures
Income Taxes
Value Added Tax
National Taxes
specifically:
TAX PROCEDURES
A natural person with the same personal identification number is registered only once by the National Business Center. He has the right to register and be provided with a new NIPT / NUIS by the NBC, only after the de-registration of the existing NIPT / NUIS.
Taxpayers who will apply to the National Business Center for a passive status shall ensure to have previously paid all tax liabilities.
Penalties are foreseen for both the seller and the buyer if they conduct transactions with entities in the “Passive” status.
Notice and request for payment can also be made electronically.
There is no obligation to pay penalty interest, in appeal cases.
If the taxpayer accepts the tax assessment and pays the obligation, the fine is reduced by 30%.
INCOME TAX
Wage tax:
a) 0% for the monthly gross salary up to 30,000 ALL;
b) 13% for the monthly gross salary over 30,000 – 150,000 ALL
c) 23% for gross monthly salary over 150,000 lekë
Source of income: Income from a non-resident person earned as a result of services rendered to a resident person shall also be considered a source of income in Albania.
Income tax: Income tax will be applied to any non-resident person who is not registered under Albanian legislation and is not subject to Income Tax.
The non-resident person must prepare a declaration of taxable income, which must be submitted by 31 March of the following year.
Unrecognized Costs: Diet costs that exceed 50% of the annual gross wage fund will not be considered.
Dividend Tax: The 8% tax rate will be applied for retained earnings realized in 2018, including capitalized reserves and capital gains, on the condition that:
a. the tax on retained earnings of 2017 and earlier, to be paid by September 30, 2019;
b. the dividend tax for the profits of 2018, to be paid by August 20, 2019.
Careful! If the above conditions are not carried through, the taxpayer will pay a 15% dividend tax.
VALUE ADDED TAX
These are the changes in the tax rates to the extent:
6% for the provision of the advertising services by audiovisual media;
6% for the supply of the public passenger transport vehicles of a capacity of 9 + 1 seats or more, with electric motor, until 31/12/2021. From 1/1/2022 the tax rate is 10%.
6% for the supply of books of any kind.
Active Processing Regime Subcontractors: A 0% tax rate will be applied for the supply of non-albanian goods processing services destined for re-exportation by authorized taxable persons and their subcontractors, based on the provisions envisaged by the Customs Code, for operations under active processing mode.
Farmer compensation rate: A rate of 6% will be applied to compensate farmers.
VAT exemptions: The existent list of VAT exemptions is extended to:
supply of agricultural machines;
supply of agricultural inputs;
supply of veterinary services, except for pets;
import of raw materials used to produce drugs.
NATIONAL TAXES
The tax on the amount of plastic goods and plastic packaging, imported at the amount of 35 leks / kg, with the exception of raw materials in primary forms.
The tax on the glass packaging, for imported and domestically produced packaging, at 5 leks / kg.
The tax on the raw materials imported in primary form and used for domestically production of plastic products, at 25 leks / kg.