1. Which taxation categories are used in the Country?
- Indirect Tax o VAT – single rate of 17%
- Direct Taxes o Profit Tax o Salary Tax; o Property Tax; o Personal Income Tax o Tax on Turnover from Real Estate Property o Tax on Proprietary Rights o Other direct taxes .
2. What is the Profit Tax rate in the Country?
- This tax varies from 10-30 % depending on the territorial unit of B&H.
a. Are profits transferred abroad taxed in the Country? - There are no restrictions on the repatriation of profit whatsoever.
b. Is VAT used in the Country? - Yes, single rate of 17%.
c. Are there taxes on exports? – Exports are not taxed.
3. Which products can be imported duty free?
- Equipment imported on the basis of foreign investment; - Equipment for military and police forces; - Equipment for rehabilitation and reconstruction projects in B&H; - Products and goods listed in the annex of the Law on Customs Policy of B&H (e.g. passengers’ personal luggage, personal property of persons taking up residence in B&H) - Fixed assets; - Industrial inventory imported on the basis of the transfer of business activity from a foreign country to B&H; - Reproduction material used for manufacturing export goods.
4. What are import duties in the Country?
– Import duties vary from 0-15%.
5. Are there any import restrictions in the Country?
- There are restrictions regarding certain goods that may endanger human health or the environment, e.g. used tyres, vehicles older than 7 and 10 years.
