International cooperation
EUROPEAN INTEGRATION
Bosnia and Herzegovina is a candidate country for EU membership.
The Stabilization and Association Agreement (SAA) between Bosnia and Herzegovina and the EU was signed in Luxemburg on June 16, 2008. The Interim agreement, which mainly refers to SAA trade issues, has been in force since July 2008.
The SAA entered into force on June 1, 2015. Bosnia and Herzegovina submitted on February 15, 2016 application for EU membership. The EU has published an Opinion on BiH's application for EU membership, in which 14 key priorities that BiH should fulfill have been determined.
One of the biggest challenges for all candidate countries for EU membership, including BiH, is the implementation of reforms and the adaptation and strengthening of public institutions in order to adopt the acquis of the EU, as well as preparation for the use of the Cohesion Fund and structural funds.
The IPA program is an integrated pre-accession fund of the European Union which is founded by the decree of the Council of Europe no. 1085/2006.
The main objective of IPA assistance is help to candidate countries and potential candidate countries in their harmonization and implementation of the acquis communautaire, as well as preparations for the Cohesion Fund and the Structural Funds.
As an instrument of administrative cooperation between the public administration of the beneficiary country and the institutions of the EU member countries, the Twinning project appears, with the purpose of providing assistance and transfer of knowledge in the application and enforcement of the acquis communautaire.
Twinning projects are directed towards achieving the objectives related to the relevant priority areas of the acquis communautaire (EU acquis).
The objectives of the Twinning project must be properly defined, goal-oriented, measurable and achievable. Also, the results must be directly related to the adoption of certain areas of the acquis communautaire, and to give specific and direct contribution to institution building in the beneficiary country.
The programs of the European Union represent an important instrument for pre-accession strategy, in terms of learning about the working methods and policies of the European Union. The progress achieved in terms of country participation in these programs is monitored as part of the annual Progress Report on Bosnia and Herzegovina, prepared by the European Commission.
ITA has continued assistance from the EU, which justifies the engagement, continuous actions, actual results and very good grades in the monitoring reports.
Twinning project “Strengthening capacities of Indirect Taxation Authority”
The general scope of the project, worth 1 million euros, is further alignment with the EU Acquis and the implementation of legislation, practice and the Stabilization and Association Agreement in the field of indirect taxation. The Project aims to improve the overall performance of the ITA by applying new laws, procedures and well-developed efficient systems of customs, VAT and excise controls. Procedures and practices applied in the administrations of EU member states (which deal with indirect taxation) should be presented to the ITA and applied, taking into account the legislative framework and IT capabilities of Bosnia and Herzegovina.
Twinning partners
- - EUTALIA, Agency of the Ministry of Economy and Finance, Rome, Italy
- - Ministry of Economy and Finance of the Republic of Italy – Customs and Lottery Games Administration, Revenue Administration of Italy
- - Ministry of Finance of the Republic of Lithuania - Customs Administration of Lithuania
- - Indirect Taxation Authority of Bosnia and Herzegovina
Duration of the project:
25.09.2023-24.09.2025.
Project financing
The project was financed from the EU program IPA 2020
Project activities:
- Component 1 - Harmonizing legislation in the field of customs, VAT, transit, excise and enforced collection;
- Component 2 - Risk management and risk analysis in customs
- Component 3 - Support to Internal Audit
- Component 4 - Implementation of the FATF action plan (Financial Action Task Forces) and training of customs officers in the field to control the entry/exit of cash from the country
ITA uses the TAIEX program whose role is mediation between experts and users.
In the future, the plan is greater use of this program, particularly in terms of participation of officials of the ITA in seminars and workshops at which enables the exchange of experiences of the beneficiary countries.
ITA is currently on the way of wanted modernization and improvement of functioning in accordance with EU requirements, and has shown a remarkable ability to effectively utilize and further use of project resources at its disposal.
ITA is increasingly becoming an institution whose daily business activities, philosophy of functioning, managerial resources and ways of managing various resources, quantity and quality of technology as well as human resources which are trained to apply the EU knowledge, practices, procedures, representing virtually one generator of progress in the accession process EU in this area.
In today's times of globalization and internationalization, no institution can work alone. Cooperation is needed at all levels, including international cooperation.
In accordance with this, one of the goals and objectives of the ITA is to coordinate activities, and to establish, nurture and develop cooperation with international institutions and the tax and customs administrations in other countries, particularly countries in the region.
This kind of cooperation will allow, first of all, reducing the gray economy and tax and customs evasion, but also provide a good basis for the exchange of information and experience that will contribute to the better quality of the work of the ITA.
IOTA
Inter-European organization of tax administration IOTA is a nonprofit organization of tax administration, established to support the tax administrations of European countries and to improve the efficiency of their work, through continuously organizing workshops, training seminars and technical and educational. Today IOTA has 46 countries as full members, including the Indirect Taxation Authority of Bosnia and Herzegovina.
Decision on acceptance of Bosnia and Herzegovina membership in IOTA was adopted during the 11th General Assembly of IOTA held from 11th to 12th June of year 2007. in Varna, Bulgaria. The headquarters of the Secretariat of IOTA is located in Budapest, Hungary.
All activities of IOTA can be divided into three major groups:
- Technical activities, including the preparation and execution of technical events (Area groups and task teams, workshops, case studies and training), as well as the providing services in connection with technical queries;
- Publications and websites, including technical publications and reports on completed events;
- Administration program, including the events that deal with strategic, financial and administrative matters of IOTA.
More detailed information about IOTA and can be found here.
B6
In December of year 2010., tax administration of the Republic of Serbia hosted the first meeting of the leading people of tax administrations in the region in order to determine ways to establish direct contacts and discussions on issues of common interest, current priorities, as well as regular issues and topics that can have long-term impact and strategic importance for the development of tax administration. As a result of these activities, an agreement was signed by General Directors of Tax Administration Member of Group B 6 in Belgrade on March 17 of year 2011. Within the Government of the Republic of Serbia.Group B6 consists of Indirect Taxation Authority of Bosnia and Herzegovina, Tax Administration of the Republic of Serbia, Tax Administration of the Federation of Bosnia and Herzegovina, the Tax Administration of Republic of Srpska, Tax Administration of Montenegro, Slovenian Tax Administration and Tax Administration of Croatia. The parties to the Agreement have agreed to cooperate in the following areas:
- Improvement of existing cooperation between tax administrations
- Discussing the issues of tax administration practices
- Exchange of experiences, best practices, initiatives, programs, publications, methods and forms of business organization
- Tax audits in all areas, especially in the area of risk management
- Tax audits and tax control
- Information systems and electronic support
- Staff training and human resource management
- Organizing joint projects and other activities in order to exchange experiences
Mutual cooperation will take the form of joint meetings, seminars and short-term technical consultation.