Ministry Requesting Covid 19 VAT – Charges for Providing Food Services to be Cut from 20% to 10%

Serbian Minister of Trade, Tourism and Telecommunications Tatjana Matic announced that the ministry had launched an initiative for the reduction of the VAT in the hospitality business – provision of food services, from 20% to 10%.

– The implementation of the so-called Covid-19 VAT, like most European countries did, should considerably soften the blow suffered by the tourism sector due to the pandemic, whereas one of the proposals is to consider the possibility, together with the National Bank of Serbia, about extending the moratorium on loan repayment for companies in this sector – the minister said, according the the ministry's website.

She also pointed out that, to the end of mitigating the consequences suffered by the tourism sector due to the pandemic, at the proposal of the competent ministry, amendments to the Regulation on Ranking and Renewing Travel Organizers' Licenses and the Regulation on Travel Guarantees and Deposits had been adopted and added that they had come into effect on November 14.

– The key innovations are the implementation of two lower categories of licenses, with a lower limit of travel guarantee coverage, and the requests of the agencies to reduce the deposit that the agencies must have on the account on the last day of the month have also been addressed – Matic said and pointed out that the new regulations enable agencies to change their license to a lower category, with a far lower coverage limit and thereby sign an agreement on travel guarantees with insurers or secure a banking guarantee.

Ministarstvo turizma i omladine Republike Srbije

Narodna banka Srbije Beograd

Ministry of Trade Tourism and Telecommunications

National Bank of Serbia

NBS

Tatjana Matic

reduction of VAT in hospitality business

provision of food services

covid 19 VAT

coronavirus

covid 19

moratorium on credits

Regulation on Ranking and Renewing Travel Organizers Licenses

Regulation on Travel Guarantees and Deposits

licenses

coverage limit

travel guarantees