The Law on Amendments and Supplements to the E-invoicing Law 

The Law on Amendments and Supplements to the E-invoicing Law

The National Assembly of the Republic of Serbia adopted the Law on Amendments and Supplements to the Law on Electronic Invoicing (hereinafter: the Law).

Hereunder we would like to present some of the most significant amendments and supplements.

The most significant change introduced by the Law in question is reflected in the introduction of the obligation to electronically record the input VAT (that is, the VAT calculated in the previous phase of the supply, or VAT which is being paid when the goods are being imported).

The aforementioned obligation would exist for taxpayers, regardless of whether they are able to exercise the right to deduct input VAT in accordance with the VAT Law or not. The law stipulates that this type of recording is done for the tax period, no later than 10 days after the end of the tax period.
F1urthermore, the Law stipulates a shortening of the period in which the taxpayer is obliged to summary and individual electronic recording of VAT. Namely, the taxpayer must carry out said actions within 10 days after the end of the tax period.

In case after the expiration of the said period there are changes which could potentially affect the electronic recording of VAT, the taxpayer would be able to correct the electronic recording of VAT within the deadline for submitting the tax return for the period in which the relevant change occurred.
Also, the respective Law additionally specifies that the obligation of electronic recording of VAT in case of the tax debtor in accordance with the VAT Law, except for:

1) the taxpayer for the transaction of goods and services, including the advance payment received for that transaction, for which an electronic invoice with the value added tax has been issued in accordance with this Law, with the exception of the taxpayer who applies the collection system in accordance with the VAT Law for the amount of VAT stated in the electronic invoice for which no tax liability arises for the tax period to which the electronic invoice refers;

2) taxpayers for retail sales and received advance payments for retail sales in accordance with the Law on Fiscalization, for which a fiscal invoice with stated VAT has been issued in accordance with the Law on Fiscalization, with the exception of taxpayers who apply the collection system in accordance with the VAT Law for the amount of value added tax shown in the fiscal invoice for which no tax liability arises for the tax period to which the fiscal invoice refers;

3) of the tax debtor for the import of goods.

Additionally, specifying the cases for which the Law on Electronic Invoicing does not prescribe the obligation to issue electronic invoices, the Law states that this obligation will not exist in the case of transactions on the basis of which a fee representing public revenue is paid in accordance with the law governing the budget system, except for transactions based on which there is an obligation to calculate VAT in accordance with the VAT Law.

In addition to the above, the Law foresees that the by-laws provided for in this Law will be adopted within 60 days from the date of entry into force of this Law, except for the by-law regulating the method and procedure of electronic recording of previous tax and its correction, which will be adopted within of 9 months from the date of entry into force of this Law.

Finally, please note that the Law on Amendments to the Law on Electronic Invoicing will be applied from January 1, 2024, with the provisions regarding the obligation to electronically record the previous tax will be applied after August 31, 2024.