Special Regime for Traders and Self-Employed Individuals

14.1 Formats for declaring business income

Taxpayers may choose to use:

• The full form of declaration, where every deductible expense and the gross income from the sale of goods and services is recorded.
• The shortened form of declaration for taxpayers with gross business income up to 10,000,000 ALL, where expenses are deducted at a presumed percentage of turnover.

14.2 Retention period of tax documentation

Taxpayers must comply with the legal requirements for retaining tax documentation according to the legislation in force.

14.3 Switching from one declaration method to the other

Taxpayers may switch from one method of declaration to another once every three years.

14.4 Limitation of claims for other deductions

Taxpayers who choose the presumed expense method may not claim any other deduction or compensation other than the personal allowance.