News in English     | 05.09.2019. 14:05 |

FBiH to file counterclaim against RS to settle indirect tax revenue debt

FENA Press release

SARAJEVO, September 5 (FENA) - The Federation of BiH Government today took note of the information on a lawsuit filed by Republika Srpska for damages for failure to settle indirect tax revenue debt. In this regard, it gave its consent to the FBiH Ministry of Finance, represented by the FBiH Ombudsman, on behalf of the Federation of BiH, to file a counterclaim against the entity of Republika Srpska - the Ministry of Finance for damages due to rejection of a proposal for other temporary settlements between the entities for 2012 and 2016 in the case of allocation of indirect tax revenues.

The RS lawsuit refers to the failure to approve the Draft Decision on the calculation of indirect tax allocation coefficients for the period July 2017 to December 2018 and the Proposal for the calculation of the second interim settlement between the entities for 2017, and the Proposal for the calculation of the second interim settlement between the entities for 2018.

This claim amounts to 34,571,047.78 KM, with the associated interest as of 25 February 2019, of which 1,244,283 KM refers to the proposed second provisional settlement for 2017 and 33,326,764.78 KM for the proposed second provisional settlement for 2018.

The FBiH Ministry of Finance has taken a stance that the implementation of all proposed settlements for (2012, 2014, 2015, 2016, 2017 and 2018) should not be partial, but be solved integrally. However, Republika Srpska disputes the second provisional settlement for 2012 under which it is obliged to pay the Federation of BiH the amount of 19,490,329.40 KM.

Furthermore, due to the failure to approve the proposal to calculate other interim settlements between the entities for 2012 and 2016, Republika Srpska should pay the Federation of BiH the total amount of 31,901,174.13 KM with default interest, stated the FBiH Government's Public Relations Office.

(FENA) S. R.

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