Finance Ministry declares “war” to informal economy

Finance Ministry declares “war” to informal economy

Pristina, 7 July 2015/Independent Balkan News Agency

By Elton Tota

Informal economy in Kosovo constitutes around 34% of the Kosovo economy in general. The tackling of this phenomenon and financial crimes are at the focus of the strategy promoted by competent authorities.

For experts of economic affairs, this tax evasion is very worrying, as it leads to an unfair competition in the market.

Agron Demi of the Institute for Advanced Studies GAP, says that competent authorities have not showed a lot of commitment in fighting informal economy.

“Kosovo’s government had approved an action plan to fight informal economy three years ago, when informal economy amounted to around 35 to 40% and three years later, this figure continues to be the same”, Demi says.

Meanwhile, Minister of Finance, Avdullah Hoti said today during a visit at the General Taxation Office, that everything will be done to fight informal economy in the country.

“Today I’m here to offer you my support in fighting informal economy, as a phenomenon which is damaging the country and the development of formal business”, Hoti declared.

He said that the Ministry of Finance is responsible for the implementation of the strategy for the fight and prevention of informal economy.

“Fight against informal economy is one of the main priorities of the Ministry of Finance, involving in this fight representatives of businesses, civil society and relevant state institutions in Kosovo”, Hoti said.

Meanwhile, head of the General Taxation Office, Nahit Sharku said that this institution is committed in offering equal treatment for all taxpayers and is determined to enforce tax law. /ibna/