The Indirect/Indirect Taxation Authority (ITA) of BiH today in Banja Luka marked the successful completion of a significant two-year Twinning project, financed by the European Union, with the aim of improving efficiency, transparency and aligning the indirect taxation system of BiH with EU standards.
Since its launch in the second half of 2023, this project, financed by the EU with 1 million euros, has provided vital support to the ITA. Activities included harmonisation of customs and tax legislation with the European Union acquis (EU acquis), strengthening institutional capacities, and adopting best practices in four key components: customs policy and taxation, risk analysis and risk management, internal audit and implementation of the FATF Action Plan (Financial Action Task Force).
The project, implemented by experts from Italy and Lithuania in cooperation with colleagues from Bosnia and Herzegovina, brought significant legislative proposals and practical tools for strengthening the role of the ITA as a modern and efficient institution, representing an important step towards the European integration of Bosnia and Herzegovina.
At the event, Antonella Di Sandri, Head of the Economic Development, Natural Resources and Infrastructure Section at the EU Delegation to Bosnia and Herzegovina, stated: “The harmonisation of customs and tax legislation with the legislation of the European Union remains a priority for Bosnia and Herzegovina. We have supported the Indirect Taxation Authority for more than twenty years, and that commitment continues steadily. Through projects like this, best practices and EU legislation are directly transferred from Member States to candidate countries. This is a complex and demanding process with thousands of legal acts to be harmonised, and customs and taxation represent the very core of this effort. Today’s successful completion testifies to the progress achieved and the continuation of the partnership on BiH’s path to the European Union.”
Experts from EU Member States worked together with their colleagues from the ITA on drafting laws and by-laws, as well as on their practical implementation. Among the most significant results are the updating and drafting of by-laws and guidelines in the field of customs, excise and VAT procedures.
In addition, project activities included training of internal auditors, training of customs officers on cash control and support in introducing procedures for compliance risk management, with the aim of further strengthening the capacity of the ITA for efficient and transparent work.
The project was implemented by a consortium led by the Italian Customs and Monopolies Agency, the Customs Administration of Lithuania, the Italian Tax Authority and EUTALIA as a body authorised by the EU.
This project, worth 1 million euros, represents key EU support in the process of harmonising the legislation of Bosnia and Herzegovina with EU standards in the field of indirect taxation.
This statement emphasises the EU’s continued commitment to Bosnia and Herzegovina in the process of harmonisation with European standards, particularly in the field of indirect taxation.
