Reinforced controls of taxpayers who trade in bih using EXPRESS POST services

On May 25, 2022, the Indirect Taxation Authority (ITA) will begin intensive controls of all taxpayers who trade in Bosnia and Herzegovina using  express post services. The reason for the intensified controls of these taxpayers is the suspicion of non-reporting  fully realised turnover.

In the analyses that have just been completed in the ITA, it was concluded that a larger number of taxpayers, a significant part of the turnover of goods in Bosnia and Herzegovina, realises by the use of courier services, ie express mail. Guided by certain indicators in this business segment, the ITA turned to the Postal Traffic Agency in BiH in order to obtain a list of authorized persons who have a license to provide postal services. After receiving the list of persons engaged in this activity, the delivery of data on users of express mail services and methods of payment for shipments was requested. Based on all the information and data obtained, a list of persons – taxpayers has been created, which will be the subject of intensified controls from May 25, 2022.

Based on the obtained information, the ITA identified persons who are not currently VAT payers in BiH, and who realised turnover (payment per company for delivered shipments at all post offices in BiH), at an annual level above 50,000.00 BAM. These persons have already had to apply for registration and entry into the VAT system in BiH.

In addition, the ITA identified VAT payers who are already registered with the ITA, but the analysis found that their turnover was significantly higher than the turnover presented and reported in their VAT returns.

ITA inspectors will conduct controls at the premises of taxpayers / persons, who have been identified as selling goods using, inter alia, express mail services in BiH. The ITA invites all VAT payers, who in the previous period traded goods in a way that also used the services of  express mail, to review their accounting records once again and if they notice irregularities to possibly change their VAT returns. We also invite taxpayers who are not in the VAT system, and who have exceeded the threshold of taxable turnover in the amount of 50,000 BAM, to urgently submit a request for registration in the Unified Register of Indirect Taxpayers in the ITA.

In this way, taxpayers will avoid violations and penalties in the upcoming controls.

ITA inspectors will carry out intensified control activities throughout Bosnia and Herzegovina. Field activities begin on May 25, 2022, and will be implemented, with greater or lesser intensity, until the end of the 8th (eighth) month of 2022.