The non-governmental association of restaurateurs in Budva said that the lower rate of value added tax (VAT) meant that everything was taxed without exception, and that if it were to be abolished, it would return the hospitality industry to cloudy waters and reduce the state's income.
"We believe that the lower VAT rate in the catering industry and the expansion of the tax base, which through the system of electronic fiscalization, which by applying simple mathematical operations, assessing the profitability/unprofitability of circumventing the obligation to issue fiscal invoices for each service performed with a calculated VAT of 7% - led to that, in colloquial terms, that everything is beaten, without exception. A large part of the unfair competition was drawn into legal channels, which created the assumption for a fair market match, and there was also a serious, positive economic impact on all activities related to the hospitality industry. the extension of the reduced VAT rate on services for the preparation and serving of food, beverages and beverages, except for alcoholic beverages, carbonated beverages with added sugar and coffee in facilities for the provision of catering services, regardless of the registration of the facility, is multiplicative and unquestionable, as was shown by the year for to us", they emphasize in the Association.
This led to the fact, as they point out, that in August VAT reached the highest level so far collected in one month, over 80 million, more precisely 82,2 million euros.
"The well-known and developed tax evasion disciplines have finally come to an end with the application of a reduced VAT rate in the hospitality industry, however, the lack of understanding by the state for the continuation of the application of a reduced rate to services in the hospitality industry will return us to the old, murky waters, while the income for the state will be negligible bigger, or even not. Most of the parliamentary clubs in the Parliament of Montenegro recognized the urgency and urgency of making a decision, so they included the Amendment to the Law on Value Added Tax on the parliamentary agenda to our official letters and requests," they point out. in the Association.
They said they welcome "this kind of responsibility shown by almost all political subjects".
"We expect and strongly urge them to adopt the proposed amendments to the Law. Considering the huge losses suffered by the hospitality industry, and the fact that we are still in a pandemic - there is no room for waiting, but it is necessary to react urgently and enable us to operate sustainably with this vital measure, but and create prerequisites in order not to jeopardize the competitiveness of Montenegro on the global tourist market," the announcement concludes.
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