From January 1st, the new fiscal package has entered into force, providing the removal of taxes on small businesses, increased taxes on insurance companies, cars, hotel accommodation, and liberal professions.
Taxes are removed for small businesses with an annual turnover of up to 5 million while the income tax is reduced from 7.5 to 5% for businesses with a turnover of 5 to 8 million ALL per year.
Also, the tax over luxury cars the registration fee will be 70 thousand and the annual tax be 21 thousand. The tax for insurance companies, will be raised from 3 to 10 %,
which is expected to be accompanied by a rising price of insurance in the market. Also taxes will be higher for liberal professions. The tax for about 5 thousand self-employed people like doctors, pharmacists, dentists, veterinarians, architects, accountants, etc, will be determined by the government between the maximum and the minimum wage.
Also the hotel accommodation tax will vary according to the number of stars the hotel and the city. The fiscal package also provides that for land tax to be paid by the user.
The value of this tax varies according to municipalities, dividing them into four categories.
In 2016, Albanians will pay 1.4 billion ALL more from these changes.