- Taxpayers who have made imports are not automatically deregistered from VAT, even if they are below the turnover threshold.
- For them, deregistration requires a special request to the regional tax directorate.
- The threshold for mandatory registration is 10,000,000 lek in annual turnover.
- Before the request, the credit surplus is either adjusted or a refund is requested.
- Deregistration does not erase the obligations for the periods during which the entity was registered.
Import changes a business's VAT status. Even when turnover falls below the compulsory registration threshold, removal from the scheme does not occur automatically for a business that has made at least one import.
The reason is practical. When goods are imported, VAT is paid at customs and then deducted on the return. Automatic exit from the scheme would leave precisely this link unresolved.
Read also: Exports and zero-rated VAT
What needs to be done
- The period's turnover is calculated and verified whether it is below the threshold of 10,000,000 lek.
- A credit balance is calculated and it is determined whether a refund is required or an adjustment is made.
- Submit the request for deregistration to the regional tax office where you are registered.
- The response is awaited, and the date from which the deregistration takes effect is verified.
The last point has practical importance. Until the date on which the deregistration takes effect, reporting obligations continue. Suspending the reports as soon as the request is submitted results in fines for failure to report.
Every time there is a tax or financial change that affects your business, we notify you directly by email with a practical explanation.
Send me free notificationsFrequently asked questions
Will I be automatically deregistered if I fall below the threshold?
Not when you have made an import. In that case, a special request must be submitted to the regional directorate.
Should I keep declaring while I wait for the response?
Yes. The obligations continue until the date when the deregistration takes effect.
Do I have any remaining credit?
It must be settled or a reimbursement requested before exiting the scheme. After deregistration, options are limited.
The original notice below is from 2020 and refers to the thresholds of that period. Before any request, your specific status is verified with the regional directorate, because the deregistration rules have changed over the years.
