Speaking about the Bill amending and modifying the Law on Tax Procedure and Tax Administration, Assistant Minister of Finance Natasa Kovacevic said that its purpose is to facilitate the postponement of debt re-payment for tax payers under more favourable conditions – the 24 months with a 12-month grace period are increased to 60 months with no grace period. The tax payers need no security if they owe 200,000 RSD for physical or 1.5 million RSD for legal entities, added Kovacevic. The interest rate is equal to the referent interest rate, and another innovation is the fact that if re-programmed instalments are paid on time, every 12 months 50% of the interest rate to the paid portion of the debt can be written off. Also, the Tax Administration publishes the list of debtors twice a year, and debt payment can now be realised through the sale of belongings, said Kovacevic.

Following a brief debate, mainly revolving around the interest write-off every 12 months, the Committee unanimously accepted the Bill amending and modifying the Law on Tax Procedure and Tax Administration, in principle.

The Bill on the Confirmation of the Agreement between the Republic of Serbia and the Republic of Korea on Avoidance of Double Taxation with respect to Taxes on Income, and the Bill on the Confirmation of the Agreement between the Republic of Serbia and the Grand Duchy of Luxembourg on Avoidance of Double Taxation with respect to Taxes on Income and on Property create the conditions necessary to avoid double taxation of Serbian residents in Korea and Luxembourg, and their residents in Serbia, and to boost the level of cooperation between the tax administrations. The second Bill also includes taxes on property.

Following a debate the Committee members unanimously accepted both the bills.

The sitting was chaired by Committee Chairman Veroljub Arsic and attended by Committee members and deputy members Olivera Pesic, Momo Colakovic, Dragoljub Zindovic, Milos Tosanic, Sonja Vlahovic, Zoltan Pek, Goran Kovacevic, Suzana Sarac, Zoran Bojanic and Vladimir Marinkovic.