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TAX RELIEF BY PROFIT TAX CHAGES

Fifth package of measures

TAX RELIEF BY PROFIT TAX CHAGES

As one of the measures of the fifth package economic measures, in order to support revitalization of the economy in the COVID-19 pandemic periods, the Government of the Republic of North Macedonia approved the text of the Draft-Law on amending the Law on Profit Tax. 

The amendments shall create an opportunity for increasing the amount of vacation pay by treating the expenditure of vacation pay (K-15) as a recognized tax expenditure.

Also, for smoothing the work of the companies in terms of COVID-19 pandemic, with the proposed amendments it is planned to have recognized expenses for paid COVID-19 laboratory tests.

The amendments also allow coverage of the losses without obligation to be in accordance with the Law on Trade Companies and it also anticipates a deadline within which the Public Revenue Office is obliged to issue a consent regarding the request for amortization expense of the residual present value of the funds.