Value Added Tax (VAT) Remains 18 Percent

Belgrade, April 18. 2010 (Serbia Today) - Mladjan Dinkic, Serbian Deputy Prime Minister and Minister of Economy said that the Government is thinking about changing tax policy, but that the rate of value added tax (VAT) of 18 percent will certainly not increase, reports Beta. Dinkic said that he supports the idea of the Ministry of Finance on tax reform and said that it would be best to start with the application on January 1st 2011th. We can think about reducing the income tax to 10 percent, with an increase of minimum taxable wages, while also establishing a uniform VAT rate of 18 percent, but with the abolition of taxation of the most sensitive products, like bread, books, newspapers and some other products - said Dinkic