As a foreign individual or legal entity operating in Bosnia and Herzegovina, you are entitled to a refund of VAT paid on the purchase of goods or services. Below you will find key information regarding VAT refunds for foreign individuals and legal entities.
VAT Refund for Foreign Individuals
As a foreign national without permanent residence in Bosnia and Herzegovina, you are entitled to a VAT refund for goods purchased in the country. To exercise this right, the following conditions must be met:
- The purchased goods must have a value of at least 100 BAM including VAT.
- The goods must be purchased from a domestic VAT-registered seller.
- The goods must be taken out of Bosnia and Herzegovina in their original condition.
- The VAT refund request must be submitted within three months from the date of purchase.
Submitting a VAT Refund Request for Foreign Nationals in Bosnia and Herzegovina
When the above conditions are met, you can initiate the VAT refund process by submitting the “PDV-SL-2” form. This form must be completed and certified by a domestic VAT-registered seller. Border officials will verify the accuracy of the information and confirm your eligibility for a VAT refund.
VAT Refund for Foreign Nationals via Intermediaries – Operators
The new Rulebook on the Application of the VAT Law has introduced the possibility for foreign nationals to obtain a VAT refund through intermediaries, known as operators. An operator is a registered VAT payer acting as an intermediary between the domestic seller and the foreign buyer. The operator will pay you the VAT refund, retaining a portion as a service fee. This process offers convenience and efficiency in obtaining a VAT refund.
VAT Refund for Foreign VAT-Registered Taxpayers
Foreign taxpayers registered for VAT in their home country, but without VAT registration in Bosnia and Herzegovina, are also entitled to a VAT refund. The request for a VAT refund is submitted through a tax representative using the new “PDV-SPO” form. To qualify, you must meet certain conditions, such as:
- Being registered for VAT in your home country.
- Not having a business establishment or any form of business operations in Bosnia and Herzegovina.
- Possessing original tax invoices for goods and services purchased in Bosnia and Herzegovina.
Our team of experts is available to provide support in the VAT refund process for foreign individuals and legal entities. Contact us to learn more about VAT refunds in Bosnia and Herzegovina.
Through this blog post, we aim to provide useful information on VAT refunds for foreign individuals and legal entities in Bosnia and Herzegovina.
