Nerma Čolaković-Prguda – Faculty of Law, University of Džemal Bijedić Mostar, Sjeverni logor bb, Bosnia and Herzegovina
Keywords:
Taxes;
Tax system;
Bosnia and Herzegovina;
Fiscal policy
Abstract: The paper deals with taxes and the tax system in Bosnia and Herzegovina. Modern tax systems are based on taxation of income and consumption. For developing countries like Bosnia and Herzegovina, the taxation of consumption is more dominant than the taxation of income. This means that in such countries the participation of indirect taxes concerning direct taxes is higher. The basic taxation categories in Bosnia and Herzegovina are corporate income tax, personal income tax, value-added tax, social security contributions, and excises. The taxation system in Bosnia and Herzegovina is characterized by low tax rates. Personal income tax is paid at the rate of 10% which means that we have proportional tax rates. But social security rates are high as follows (employee’s share): 17% for pension insurance, 12,5% for health insurance and 1,5% for health insurance. We need some fiscal reforms within fiscal policy if we want to have higher salaries and standard of living.
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LIMEN Conference
9th International Scientific-Business Conference – LIMEN 2023 – Leadership, Innovation, Management and Economics: Integrated Politics of Research – CONFERENCE PROCEEDINGS, Hybrid (Graz University of Technology, Graz, Austria), December 7, 2023
LIMEN Conference Proceedings published by the Association of Economists and Managers of the Balkans, Belgrade, Serbia
LIMEN Conference 2023 Conference Proceedings: ISBN 978-86-80194-78-3, ISSN 2683-6149, DOI: https://doi.org/10.31410/LIMEN.2023
Creative Commons Non Commercial CC BY-NC: This article is distributed under the terms of the Creative Commons Attribution-Non-Commercial 4.0 License (https://creativecommons.org/licenses/by-nc/4.0/) which permits non-commercial use, reproduction and distribution of the work without further permission.
Suggested citation
Čolaković-Prguda, N. (2023). Tax System in Bosnia and Herzegovina. In V. Bevanda (Ed.), International Scientific-Business Conference – LIMEN 2023: Vol 9. Conference Proceedings (pp. 193-199). Association of Economists and Managers of the Balkans. https://doi.org/10.31410/LIMEN.2023.193
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