1 M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Working Group for Chapter 16– Taxation Bilateral screening: Chapter 16 PRESENTATION OF MONTENEGRO Brussels, April 2013

MONTENEGRO TAX ADMINISTARTION Organisational Structure Tax Administration Novo Radovic TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

Organisational units of Tax Administration Department for taxpayer services and registration; Department for processing of tax returns and tax payments; Department for Information Technology in the field of tax system; Department of tax policy analysis; Department for Monitoring of Tax Regulations and Tax Audit; Section of Internal Control Service for Finacial and Accounting Affairs; Service for Legal, General and Technical affairs. TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

Department for Taxpayer Services and Registration Division for providing services to taxpayers; Division for public education and CALL center; Division for central registry of companies (CRPS); Division for registration of taxpayers, persons liable for contributions and insured persons (CROO). TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

Department for Processing of Tax Returns and Tax Payments Division for registration and processing of tax returns and tax accounting; Division of tax collection; Division for data processing and analysis; Division for excise products. TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

Department for Information Technology in the Field of Tax System Division for software maintenance and development; Division for infrastructure maintenance and development. TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

Department of Tax Policy Analysis Division for tax policy and revenue forcasting; Division for monitoring of audit and collection effects. TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

Department for Monitoring of Tax Regulations and Tax Audit Division for application of tax regulations and tax audit; Division of tax audit; Division for large taxpayers; Regional offices. TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

Regional offices are: Regional office Podgorica (branch in Cetinje and Danilovgrad); Regional office Nikšić (branch in Šavnik and Plužine); Regional office Bar (branch in Ucinj); Regional office Budva (branch in Tivat and Kotor); Regional office Herceg Novi; Regional office Bijelo Polje (branch in Kolašin i Mojkovac); Regional office Pljevlja (branch in Žabljak); Regional office Berane (branch in Andrijevica, Plav and Rožaje). TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

D I R E C T O R SERVICE FOR LEGAL, GENERAL AND TECHNICAL AFFAIRS 26 SERVICE FOR FINANCIAL AND ACCOUNTING AFFAIRS 12 ADVISOR TO THE HEAD 3 SECTION OF INTERNAL AUDIT 3 DEPARTMENT FOR SERVICES AND REGISTRATION 36 DIVISION FOR SUPPLYING SERVICES TO TAXPAYERS DIVISION FOR PUBLIC EDUCATION AND CALL CENTER DIVISION FOR CENTRAL REGISTRY OF COMPANIES (CRPS) DEPARTMENT FOR PROCESSING OF TAX RETURNS AND TAX PAYMENTS 33 DIVISION FOR REGISTRATION AND PROCESSING OF TAX RETURNS AND TAX ACCOUNTING RAČUNOVODSTVO DIVISION OF TAX COLLECTION DIVISION FOR DATA PROCESSING AND ANALYSIS DIVISION FOR EXCISE PRODUCTS DIVISION FR REGISTRATION OF TAXPAYERS, PERSONS LIABLE FOR CONTRIBUTIONS AND INSURED PERSONS (CROO) DEPARTMENT FOR INFORMATION TECHNOLOGY IN THE FIELD OF TAX SYSTEM DIVISION FOR SOFTWARE MAINTENANCE AND DEVELOPMENT DIVISION FOR INFRASTRUCTIRE MAINTENANCE AND DEVELOPMENT DEPARTMENT FOR TAX POLICY ANALYSIS 10 DIVISION FOR TAX POLICY AND REVENUE FORCASTING DICISION FOR MONITORING OF AUDIT AND COLLECTION EFFECTS DEPARTMENT FOR MONITORING OF TAX REGULATIONS AND TAX AUDIT 41 DIVISION FOR APPLICATION OF TAX REGULATIONS DIVISION OF TAX AUDIT REGIONAL OFFICE BAR 45 REGIONAL OFFICE BUDVA 47 REGIONAL OFFICE HERCEG NOVI 29 REGIONAL OFFICE NIKŠIĆ 60 REGIONAL OFFICE PODGORICA 176 REGIONAL OFFICE BIJELO POLJE 48 REGIONAL OFFICE BERANE 56 REGIONAL OFFICE PLJEVLJA 36 DIVISION FOR LARGE TAXPAYERS PR 1 TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

Challenges Strengthening capacities of the Unit for large taxpayers; Improvement of legislation framework with the aim of better efficiency of Tax Administration; Tax debt collection; Introduction of horizontal monitoring; Strengthening cooperation with taxpayers; Establishment of the Team for cooperation with taxpayers, tax consultants and accountants; Constant training of human resources; Recruitment of new human resources. TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

MTA Projects: Stabilisation of the existing MTA IT system; Introduction of electronic submission of tax returns ; Establishment of electronic connections with other state authorities; Establishment of connections with other tax administrations; Improvement of the one - stop shop registration system; Improvement of transparency od data in MTA IT system, transparency of data from financial statements, transparency of registration data. TAXATION Chapter 16: M O N T E N E G R O Negotiating Team for the Accession of Montenegro to the European Union Chapter 16: Taxation

13 Thank you for your attention! QUESTIONS