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Bosnia and Herzegovina Exempts COVID-19 Equipment From Indirect Tax

Dated Mar. 9, 2021

SUMMARY BY TAX ANALYSTS

In its 29th session the Council of Ministers of Bosnia and Herzegovina noted its decision to exempt direct procurement of supplies for COVID-19 from indirect taxes.

DIRECT VACCINES PROCURMENT FOR IMMUNISATION TAX FREE

The Council of Ministers of BIH took a decision to supplement a decision on waiving from indirect tax paid for equipment and means granted by domestic and international persons for the needs of prevention, containing and removing of epidemics, caused by corona virus.

The decision supplement enables all responsible public institutions in Republika Srpska, Federation of BIH and Brčko District of BIH to be freed from paying indirect taxes for direct procurement of medical countermeasures against Covid-19, thus a mass immunisation will be implemented free of charge, and BIH competent authorities will issue a confirmation that the medicines were procured for non-commercial purposes (free and voluntary immunisation).

It will make easier to responsible ministries and other health care institutions to procure independently medicines to treat Covid-19, in order to implement a free-of-charge mass immunisation in BIH.

The Ministry of Civil Affairs signed a Contract on vaccine procurement through Covax mechanism, in addition to an earlier singed agreement on mutual rights and obligations, however, no vaccine has arrived through Covax mechanism yet.

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