Tax statute of limitations according to the provisions of new General Tax Act (Official Gazette No. 115/16)

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The most important changes related to the tax statute of limitations are abolishing the relative statute of limitations and introducing a single statute of limitations period of six years with the intention of regulating the same obligations arising from taxes and contributions. Thus, the statute of limitations for contributions is no longer regulated by the Law on Contributions but carried out by the Tax Administration under the provisions of the GTA.

Novelty is the provision that prescribes when taxpayer settle the tax liability after the statute of limitations, the taxpayer is entitled to a refund of tax paid as well as interests from date of claim.

With respect to the write-off of due tax debt, in accordance with Article 148 of the GTA, a debt that is on each January 1 under statute of limitations will be written off from tax records. The same goes for the right to claim overpaid tax.

Procedures for determining the statute of limitations started upon the request of the taxpayer under the provisions of the old GTA (Official Gazette No. 147/08 to 44/16) and resulting with relative statute of limitation (3 years) until January 1, 2017 will be completed under the provisions of old GTA. At the same time, the procedures resulting with absolute statute of limitations (six years) until January 1, 2017 will be completed under the provisions of the new GTA

Darka Cecić
Darka Cecić
Darka Cecić - CPA, CIA and educator on seminars and trainings with tax and financial reporting themes with more than 25 years of extensive experience in accounting and audit field. Continuously upgrades her knowledge through numerous education inland and abroad. Sharpened skills on audit engagements in SME and large companies from various industries and international groups.

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