CORPORATE TAX INCENTIVES IN TRANSITORY ECONOMIES: CASE OF THE REPUBLIC OF SERBIA AND REPUBLIC OF MACEDONIA
Journal Title: MEST Journal - Year 2019, Vol 0, Issue 1
Abstract
Tax incentives are one often used tool by low-income countries for attracting capital and money into their economies. Usually, formerly closed economies during their transition to open-market economies use different forms of tax and other types of incentives to attract foreign companies and their capital to be placed into these economies. The case of the former Yugoslav republics, Serbia and Macedonia, is an interesting example of incentives established with the aim to reconstruct and rebuild industry and infrastructure, to get better welfare, etc. Of the various incentives in the pool, tax incentives are used the most. The authors of the article analyze the policy of corporate tax incentives in the Republic of Serbia and Republic of Macedonia since 2000, which have been changing in forms and scope as a consequence of the Serbian/Macedonian tax system’s reform. The authors stressed differences between the two countries, which are mostly influenced by the negotiation process with European Union and the need to harmonize national legislation with European Union rules: in Serbia tax incentives in the sphere of corporate taxation were very generous at the beginning of the period; the similar situation was in Macedonia. However, after the negotiation process between the European Union and Macedonia was “frozen” in 2005 and the negotiation and accession process with Serbia has been opened, the situations in these countries have become different: the tax incentives’ policy in Macedonia stayed generous comparing with Serbia which had to be narrowed because of the European Union pressure (to avoid being accused of harmful tax competition).
Authors and Affiliations
Snezana Stojanovic
Keywords
Related Articles
- EP ID EP510535
- DOI 10.12709/mest.07.07.01.14
- Views 108
- Downloads 0
MOTIVATION OF POPULATION TO PREPARE FOR CRISIS SITUATIONS
The crisis is, because of the conceptual sign itself, in most cases, a very difficult predictable phenomenon, something unusual, distinct from an event that is regularly and predictably recurrent and which, if it occurs,...
RESEARCH ON CONSTRUCTION OF NINGBO NATIONAL TECHNOLOGY TRANSFER DEMONSTRATION PLOT WITH CEE FEATURE
Ningbo is one of the first coastal open cities in China, with obvious advantages of export-oriented economy and distinct characteristics of opening and innovation, but the innovation ability of companies here was not str...
SYSTEM OF RANKING OF POSITIONS OF THE PERSONNEL AS A FACTOR OF AN ENTERPRISE ACTIVITY EFFICIENCY INCREASE
Building any effective system of remuneration must begin with understanding what positions exist in the enterprise, how do they compare with each other, as one department can be compared with another division, i.e. const...
ONTOLOGY OF BIG DATA ANALYTICS
This article describes the features of classification methods and technologies analytics Big Data. There are described: a group of methods and technologies, analytics Big Data that are graded according to the functional...
IMPACT OF FINANCING THE CIVIL PROTECTION IN SELF-GOVERNMENT ON THE CITIZENS' SECURITY
Protection the life and health of the population are one of the main tasks of the state and self-government. Cities and municipalities finance from their budgets activities that increase the level of citizens' security....