Regulation on the conditions, terms and procedure for exemption from customs and other duties on import of equipment.

Pursuant to Article 14, Paragraph 2 of the Law on Investments ("Official Gazette of the Republic of Serbia" No. 89/15), at the Government session held on 21 January 2018, the Regulation on conditions, terms and procedure for exemption from customs and other duties on import of equipment.

The Regulation was published in "Official Gazette of the Republic of Serbia" No. 048/018 on 22 June 2018.

This Regulation shall more closely regulate the conditions, terms and procedure for exemption from customs and other duties on import of equipment of foreign investors, excluding value added tax.

The maximum allowable amount of incentive funds is prescribed by Article 3 of the Regulation, and is as follows

• for large companies it is possible to determine up to 50% of the eligible costs for the realization of the investment project
• for a medium-sized company it is possible to determine up to 60% of the eligible costs for the realization of the investment project,
• for small companies up to 70% of the eligible costs for the realization of the investment project

The exercise of the right to the exemption is prescribed by Article 4 of the Regulation.

The amount of exemption is prescribed by Article 5 of the Regulation.

The deadline for exercising the right to exemption is prescribed by Article 6 of the Regulation

The procedure for obtaining the benefit (Request for exemption of investors) is prescribed by Article 7 of the Regulation.

Prohibition of alienation and disposal limitation are prescribed by Articles 8 and 9 of the Regulation, as follows:

• Duration of limitation regarding the right to dispose imported equipment exempted from payment of import duties - Article 8, and
• Customs supervision - Article 9.

Transitional and final provisions relate to the completion of procedures initiated, and are prescribed by Article 10 of the Regulation.

The Regulation shall enter into force on the eighth day from the date of its publication - on 30 June 2018.