Parliament completes debate on tax, pension and salary regulations

"The amendments will create the prerequisites for the start of automatic exchange of financial accounts and thus Montenegro will be removed from the list of countries that have not adequately implemented tax transparency standards," said Finance Minister Novica Vuković.

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Popović at the session, Photo: Parliament of Montenegro
Popović at the session, Photo: Parliament of Montenegro
Disclaimer: The translations are mostly done through AI translator and might not be 100% accurate.
Ažurirano: 10.02.2025. 16:15h

The deputies completed the debate on amendments to the Law on Tax Administration, Payment Transactions, and the Law on Voluntary Pension Funds, on which they will make a statement at a later date.

The hearing was also completed on the ratification of the agreement between Montenegro and Andorra on the elimination of double taxation on property.

This is the epilogue of today's session, with Deputy Speaker of the Parliament Zdenka Popović saying that the debate has been concluded and that the deputies will vote on them later.

In the introductory explanation of the amendments to the Law on Tax Administration, Minister of Finance Novica Vuković stated that Montenegro joined the Global Forum on Transparency and Exchange of Information for Tax Purposes in 2018, committing to implement the necessary measures.

"Given that the existing law only partially implements these standards, the proposed amendments will ensure full compliance with the joint reporting standard... The amendments will create the prerequisites for the start of automatic exchange of financial accounts and thus Montenegro will be removed from the list of countries that have not adequately implemented tax transparency standards," said Vuković.

Vukovic
Vukovicphoto: Parliament of Montenegro

Uncollected 600 million

New Serbian Democracy (NSD) MP Dejan Đurović stated that this law should end the tax story, and that in the event of the collection of 600 million euros owed to the state, it would significantly affect the lives of Montenegrin citizens.

"Of these 600 million, the largest number are those linked to the first family, and the largest debtor is "Vektra" and Mr. Brković. I hope that through forced collection we will manage to recover at least some of the 600 million, this law should have been passed before, when Brković had assets that could collect 115 million euros. Today, he does not have that asset, but let's at least take what we can from them. The second thing is also related to the functioning of Đukanović, we have a debt of non-payment of profit tax with "Port of Montenegro" which is certainly fictitious of 80 million and a tax of nine percent, which is now already 15 percent, which has not been collected. Đukanović and his son opened several companies in 2012 through a complicated network of related companies - is it possible that the president does not want to be a taxpayer of the state," said Đurović.

He stated that the trusts were established for a period of 80 years, and that the companies could carry out all the business, but that after the loss of power, they were closed. Đurović asked whether there was a basis for the president of the state to open companies in the Virgin Islands.

"How did other countries react when Pandora's box was opened? In Latin America, political responsibility has come to the fore... Do we have to be worse than Chile and Ecuador? We can pass laws and implement them, but we also have to ensure that justice based on those laws is done in a way that citizens trust us. By paying taxes, you show love for the country, and this man has shown that he only took advantage," Đurović pointed out.

Đurović
Đurovićphoto: Parliament of Montenegro

Democratic MP Zdenka Popović added that Đurović did not touch on the debt of transition tycoons, and that only after this law will we learn about the accounts of domestic millionaires and billionaires in foreign countries. She emphasized that the failure to pass this regulation also threatens financial stability, as it prevents the possibility of supporting terrorism and suspicious transactions.

"I think that the reason for the opposition's obstruction is precisely this, the reason was not the obstruction of the budget. I think that the newly formed businessmen were very scared of this law, because it is important for entering the EU. All the transition winners and patriots who covered themselves with flags and hid and stole money from citizens, we will eventually find out who these people are and they will have to pay for every cent stolen from citizens," said Popović, while the Democrats parliamentary group could also be heard saying that money would be created for investment in projects.

Democratic People's Party MP Dragan Bojović stated that he was confused by the opposition's masochistic need to shoot itself in the foot and obstruct important regulations, because these laws are the concern of the state. He emphasized that it is important to collect taxes from the rich with slush funds and to strengthen tax collection.

Laws not to wait

Minister of Finance Novica Vuković, in explaining the amendments to the Law on Payment Transactions, said that their adoption creates the prerequisites for harmonizing Montenegrin legislation with European regulations, which is one of the criteria for closing Chapter 4 - free movement of capital.

Central Bank Governor Irena Radović added that the implementation of the law will enable efficient and modernized payment transactions, lower costs and better service. She emphasized that these amendments create the conditions for the formation of a payment transaction authority, while the Central Bank will be the regulator in this market.

Radovic
Radovicphoto: Parliament of Montenegro

"You cannot expect our system to be ready when the laws have not been adopted, so instead of starting transactions in June, ours will start in October. I appeal that all the laws that we submitted in September and October, 16 laws, be urgently adopted in order to close Chapter 4. We must not allow ourselves to be late," Radović stressed.

New Serbian Democracy MPs have announced that they will support this law.

Socialist People's Party MP Slađana Kaluđerović asked Radović about the delay in adopting this regulation, given that the deadline for its adoption was January 15. Popović also asked the same question.

Regarding the Draft Law on Voluntary Pension Funds, Vuković said that through the adoption of regulations, Montenegrin legislation will be harmonized with the EU and a legal framework will be created for the management of this type of fund.

The President of the Capital Market Commission, Željko Drinčić, added that this is one of six laws that the Commission has been working on in the last two years.

Budva for the budget

MP from the Special Club of MPs Jevrosima Pejović stated that last week, the coalition that has been holding Montenegro hostage for decades in divisions and nationalism could be seen in action, saying that every time it is necessary - the Speaker of the Parliament Andrija Mandić and the former leader of the Democratic Party of Socialists and former President of the state Milo Đukanović, find each other in trouble and give each other artificial respiration.

Pejovic
Pejovicphoto: Parliament of Montenegro

"This decades-long cooperation was crowned with a transaction called 'You give us Budva, and we'll turn a blind eye to your budget adoption and borrowing'. It would have been good if you had included Šavnik in that transaction, because you are using that municipality to bribe the Brussels diplomats... You are holding these people hostage," she stated, adding that citizens support that coalition with every vote.

New Serbian Democracy MP Velimir Đoković stated that he was taken aback by the statement and that it was not true that there was cooperation with DPS, adding that the party had been their biggest opponent for many years. He said that this fight ultimately resulted in victory on August 30, 2020.

"The citizens of Šavnik, whether embodied in activists of our party or some other party, will not allow the rewriting of the electoral will in Šavnik. I fully support these citizens in not allowing the Municipality of Šavnik to be governed by someone who was elected with votes from another municipality. I think that all the lists in Budva that created an unnatural coalition have failed their voters," he said.

Pejović added that they trampled on the right of the residents of Šavnik to a dignified life and fought for their political interests, and that the asset records of the party leaders show that they are not threatened.

Djokovic stated that there was no need to comment on the statements, because their years of work and fight against DPS say it all.

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