After the adoption of the Fiscalization Act, which foresees the mandatory fiscalization of final consumption invoices and the introduction of mandatory e-Invoices in the business operations of entrepreneurs from the beginning of next year, the Ministry of Finance is also moving forward with amendments to the Value Added Tax Act, which foresee the abolition of keeping some accounting records and books, which predicts savings for entrepreneurs in the amount of 72,6 million euros, it writes. N1.
The Ministry of Finance has put out for public consultation until October 18 a draft proposal for amendments to the Value Added Tax Act, which proposes "the abolition of the condition of consent for accepting invoices in electronic form for domestic deliveries between taxpayers based in Croatia for which there is an obligation to issue in terms of fiscalization regulations in the part of issuing and fiscalizing eInvoices in the business operations of taxpayers."
It also envisages the simplification of administrative obligations through the abolition of certain forms for the purpose of implementing the Fiscalization 2.0 project - Implementation of a system for non-cash payments via eInvoices with an integrated e-archive and advanced online accounting in the VAT system.
Business adjustments and expected savings
"It is undeniable that the exchange of e-Invoices will require certain adjustments in the business operations of taxpayers, which will primarily relate to the adjustment of software solutions, however, it is emphasized that the obligation to exchange e-Invoices will also enable savings for taxpayers," the Ministry states in the explanation of the legal proposal.
In order to implement the planned administrative relief and achieve savings within the scope of VAT, it is proposed to abolish the submission of the Report on Food Donations (Form DON-H), keeping the Book of Outgoing Invoices (Form I-RA) in paper/electronic form, submitting special records on goods sold to customers within the scope of passenger traffic (Form PDV-F), submitting a report on domestic deliveries with the transfer of tax liability (Form PPO), and submitting special records on invoices received (Form U-RA).
The abolition of the aforementioned forms has resulted in an estimated relief of 72,64 million euros for entrepreneurs. It is also expected that there will be a significant administrative relief due to the abolition of the obligation to keep the aforementioned tax forms. They also state that the extension of the deadlines for submitting VAT returns, Summary returns, Returns for the acquisition of goods and services received from other EU member states, and returns for deliveries of goods to other EU member states previously imported under procedures 42 and 63 will simplify the business of taxpayers because they will have longer deadlines at their disposal.
Amendments to that law should enter into force on January 1, 2026.
Source: N1
Photo: HINA /Zvonimir KUHTIC
