Kosovo raises VAT to 18%

Wed 16th Sep 2015

Kosovo has increased its standard VAT rate from 16% to 18%. A reduced VAT rate of 8% on essentials was introduced to offset the impact on the less wealthy.

The VAT registration threshold has been lowered from €50,000 to €30,000 per annum.

Foreign companies providing taxable supplies in Kosovo may have to register for VAT as a non-resident trader, which may include the appointment of a fiscal representative.

The increase came as part of a range of corporate, personal and indirect tax changes. VAT registered companies are liable to submit monthly returns, which are due on the 20th of the month following the reporting period.

Click for free Kosavan VAT info