Short answer
VAT is a tax that businesses collect from customers and remit to the budget, after deducting the VAT paid on purchases. Registration becomes mandatory when annual turnover exceeds 10,000,000 lek.
Verified on from Andi Haxhillari, Certified Accountant. Compared to Law No. 92/2014 on VAT, as amended, Articles 49, 106, 107 and 117, and with the books taking effect as of January 1, 2026.
VAT is not a business expense but a tax that the business collects from the client and remits to the budget, after deducting the VAT paid on purchases. The obligation to register arises when annual turnover exceeds 10,000,000 lek, and once registered the cycle becomes monthly, with books due by the 11th and the return by the 14th.
The threshold of 10,000,000 lekë and how it is measured, the request within 15 days, voluntary registration, and the conditions for exiting the scheme.
Read →Sales and purchase books up to the 11th, statements and payments up to the 14th, pre-filing for fiscalization and corrections.
Read →Who enforces the 6% standard, how are accommodation facilities and agritourism treated, and what happens when two standards are combined on a single invoice?.
Read →Exempt supplies, the difference between exemption and the zero rate, and the effect that exemption has on the right to deduct input tax.
Read →Credit excess conditions, the administrator's requests and deadlines, preliminary verification, and cases in which the procedure is suspended.
Read →VAT at customs and its refund, zero-rated exports, services by non-residents and their invoicing.
Read →Farmers and compensation, travel agencies, goods used under the margin scheme, auctions, and other special cases.
Read →AlProfit Consult keeps the books, reviews the statement before confirmation, and monitors the threshold throughout the year as part of the monthly subscription.
