The Association of Publishers and Booksellers of Montenegro appealed to the Government not to adopt the announced proposal to increase the rate of value added tax (VAT) on books from the current 7 to 15 percent, as this would have far-reaching negative consequences on the culture of reading, education and availability of books. in our country.
At a time when the book is already threatened by the growing use of mobile phones and digital media, an additional increase in VAT would reduce the presence of books in their traditional form, and books are essential for the preservation of culture and education. "Montenegro, as a small country with a rich but vulnerable cultural heritage, should invest efforts in the promotion of reading and the availability of books, and not introduce measures that will make them less accessible," states the statement signed by the president of the Association of Publishers and Booksellers of Montenegro. Up Radomir Uljarević.
He said that standards related to VAT on books vary between different countries, but that in most European countries books are taxed at a reduced VAT rate, which is lower than the standard VAT rate. These reduced rates can be between 5% and 7%, depending on the country, while in countries such as the UK and many US states, books are exempt from VAT and zero-rated, meaning no VAT is payable on books. adds Uljarević.
"European countries tend to further reduce or abolish VAT on books in order to support culture and education, encouraging reading, education and cultural development. It is a form of helping publishers and bookstores to maintain competitiveness and to encourage publishing, which contributes to the development of the cultural industry.
Montenegro, with its small but valuable cultural scene, should aspire to these positive examples and support reading and education through low tax rates on books. At this stage of adopting European values, after receiving IBARA, it would be natural to worry about the harmonization of tax policy with European practices," the announcement states.
Uljarević pointed out that the total amounts that could be collected by increasing the VAT on books would be negligible compared to the damage that this increase would cause.
"In the context of the entire budget of Montenegro, this amount is minor, while the damage to culture and education is enormous. The Association of Publishers and Booksellers of Montenegro continuously points out the challenges faced by the book industry in Montenegro, so during 2022 in in this direction, the project Training and education for deficient professions in the book industry was implemented, which is supported by the joint EU-CG program for employment, education and social protection, thus this program, which our country implements in cooperation with the EU, recognized the challenges of our industry .
We also remind you of the Resolution of the European Parliament of September 14, 2023 on the future of the European book sector (2023/2053(INI)) in which the EP, among other things... (55.) calls for a zero VAT rate for books in member states, regardless on their format or the way in which they are accessed, in order to support the knowledge-based economy and encourage reading and promote its lifelong benefits," says Uljarević.
He reminded that the Association of Publishers and Booksellers of Montenegro supports the long-standing struggle of the International Publishers Association (IPA International Publishers Association) as well as the Federation of European Publishers (Federation of European Publishers) for zero taxation of books in all forms.
"We call on the Government of Montenegro to reconsider the proposal on increasing VAT on books. In addition to most Montenegrin bookstores, the Appeal of the Association of Publishers and Booksellers of Montenegro is supported by: Association of Librarians of Montenegro, Professional Association of Writers of Montenegro, CID, Nova knjiga, Pinta, Ewing - Pčelica , Obodsko slovo, Unireks, Svetigora, VBR grafika, Matica srpska - a society of members in Montenegro, SNV Literary Cooperative, Comic Club Mister No, Kultura plus, Pegaz, JU Ratković's evening of poetry...", concludes the announcement.
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