The Law on the Waiver of Interest on Outstanding Tax Obligations (“Law”) has been officially adopted and will take effect on 1 January 2025. This Law allows for the waiver of unpaid interest on tax obligations that became due before 31 December 2024.
The Law encompasses taxes, fees, contributions, charges, and other monetary payments established by tax regulations, for which the collection and control are managed by tax authorities.
Tax debtors can qualify for this waiver by submitting all required tax declarations by 31 December 2024 and paying their principal tax debt within 60 days of the Law’s implementation. This possibility for the waiver also applies to those with restructured debts under previous regulations.
To receive the waiver, tax debtors must submit a formal request to the relevant tax authority within 60 days of the Law taking effect. Additionally, the relevant tax authority will, ex officio, issue a decision to waive interest for tax debtors who have calculated interest as of 31 December 2024 but do not have any recorded principal tax debt.
Local authorities may also establish regulations for the waiver of interest on local tax obligations.
The information in this document does not constitute legal advice on any particular matter and is provided for general informational purposes only.
By Branimir Rajsic, Senior Consultant, and Ana Pavlovic, Associate, Karanovic & Partners