News in English     | 07.12.2020. 11:19 |

Initiative accepted for reduction of VAT in tourism, catering industries

FENA Hana Imamović

SARAJEVO, December 7 (FENA) - Members of the Committee on Finance and Budget of the Parliamentary Assembly of Bosnia and Herzegovina accepted the Collective Opinion on the Financial Audit of BiH Institutions for 2019 unanimously at today's session in Sarajevo.

The parliamentary initiative of the MPs of the Party of Democratic Progress (PDP) Mira Pekić and Branislav Borenović was unanimously accepted today, by which the House of Representatives obliges the BiH Council of Ministers to prepare a Draft Law on Amendments to the Law on Value Added Tax within 30 days.

The intention is to reduce the value added tax rate on all services provided in tourism, catering and passenger transport from 17 to five percent. A VAT rate of five percent in tourism, catering and passenger traffic would be applied until December 31, 2022.

During the explanation of that initiative, Pekić mentioned that tourism is perhaps the most affected sector with the coronavirus pandemic, estimating that such measures would be good for the economy of Bosnia and Herzegovina.

The members of the Commission assessed that this was a good initiative, and the MP of Our Party Mirana Marinković-Lepić warned that the deputies still did not have any proposals before the Council of Ministers of BiH in terms of repairing the economic damage caused by the pandemic.

The members of the Commission also accepted the parliamentary initiative of Denis Zvizdić (Party of Democratic Action - SDA) by which the House of Representatives instructs the BiH Council of Ministers to submit at least once a month updated information on the situation in Bosnia and Herzegovina on the coronavirus pandemic.

Also, special emphasis in the information should be on the manner of spending the planned budget funds intended for repairing the economic damage caused by the coronavirus pandemic - Covid-19.

In the explanation of the initiative, Zvizdić emphasized that there were no changes in any legal solutions that would repair the health and economic consequences caused by the pandemic, and he is already late, he believes, with the help of the economy.

He stressed that there is a need to coordinate the activities of institutions at all levels of government in Bosnia and Herzegovina on the issue of responding to the pandemic, including the PABiH as the constitutionally highest legislative body in the country.

(FENA) L. N.

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