Amendments to the Law on Electronic Invoicing (“the Law”) were published in the Official Gazette of the RS no. 94/2023 of October 27, 2023, and entered into force on November 4, 2023.

The respective amendments shall be applied as of January 1, 2024, except for the provisions referring to the electronic registration of input tax, which will be applied from August 31, 2024.

Electronic registration of input tax

The users of the System of Electronic Invoices (“SEF”), which are subject to the value added tax (“the VAT”), will be obliged to electronically register input tax, in addition to the electronic registration of the VAT, which is a key amendment to the Law.

VAT taxpayer is obliged to electronically register input tax regardless of whether it is eligible for deduction of the subject tax.

The deadline for electronic registration of input tax in SEF is ten days upon the expiry of tax period, whereas, if a change which affects electronic registration of VAT calculation occurs upon the expiry of such period, the VAT taxpayer shall be required correct electronic registration of input tax within the deadline for filing a tax application for the tax period when the respective change occurred.

Other significant amendments

The Law defines the term of electronic registration of VAT as a presentation of data on accrued VAT, on input tax and corrections of accrued VAT and input tax.

In addition, the obligation to issue electronic invoice for transactions based on which public revenue contributions are paid is more precisely regulated. Namely, in this case it is not necessary to issue electronic invoice, except in case of transaction based on which it is necessary to calculate VAT.

Alike with input tax, the Law stipulates a deadline of ten (instead of previous 15) days for electronic registration of accrued VAT, which deadline starts from the expiry of tax period.

Penalty provisions

Within penalty provisions, the Law prescribes liability for failure to use SEF according to the Law, for which offence the fine ranges from RSD 200,000 to 2,000,000 for legal entity, and from RSD 50,000 to 150,000 for responsible person in a legal entity.

This article is to be considered as exclusively informative, with no intention to provide legal advice. If you should need additional information, please contact us directly.