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Amendments on the Law on Excise Duty in Bosnia and Herzegovina related to non-alcoholic beverages, beer and wine

Tax Alert,August 2014

Amendments on the Law on Excise Duties in B&H, which was published in the „Official Gazette of B&H“, number: 60/14, entered into force on 12th July 2014 and will be applicable as of 1st September 2014.

Amendments of the Law envisages amendment to Article 18 which prescribes treatment for non-alcoholic beverages, beer and wine which will now amount to:

  • nonalcoholic beverages 0,10 KM (no change comparing to previous rate)
  • beer 0,25 KM (increase of 0,05 KM comparing to previous rate)
  • wine 0,25 KM (no change comparing to previous rate)

Exceptionally, beer producers whose average production volume in the last three years is less than 400,000 hl, pay excise duty at rate of 0,20 BAM / l. The right on decreased rate can also be used by importers under the condition that they have evidence on procurement of beer from producers whose average production in last three years is less than 400.000 hl.

The Governing Board of the Indirect Tax Authority shall adopt Rulebook with more detailed provisions on obtaining of right to use the decreased rate.

Additionally, the amendment of the Law envisages monetary penalty of 1,000 to 200,000 BAM for the legal entity in case it provides false information in order to use the lower rate.

If you have any questions concerning this publication, please do not hesitate to contact us:

Emir Ibišević
Deloitte Advisory Services d.o.o.
Jadranska bb, 71000 Sarajevo, Bosnia and Herzegovina
Direct: +387 33 277 560 | Fax: +387 33 277 561 | Mobile: +387 61 396 047
eibisevic@deloittece.com

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