Author: Dr.sc. Suzi Mikulić

The aim of this paper is to examine the impact of macroeconomic variables as systemic factors of the external environment on credit risk in transactions between enterprises in the real sector. The research was conducted on a sample of large enterprises in Bosnia and Herzegovina over a five-year period. The obtained results suggest that the macroeconomic variables GDP, interest rates on loans to enterprises, inflation and the unemployment rate have significant explanatory power in explaining credit risk in real sector enterprises. GDP and inflation are negatively correlated with credit risk, while unemployment and interest rates on loans are positively correlated at the 5% significance level. On the other hand, the observed variables on their own do not have a satisfactory predictive ability in forecasting credit risk in real sector enterprises (ROC = 0.52) and therefore they should be used in combination with other specific predictors such as financial statement analysis indicators and non-financial information.

Authors: Dr.sc. Admir Čavalić, Dr.sc. Ema Burić

Business performance of enterprises represents the achievement of results in various aspects of operations, whereby inputs, processes and outputs are analysed. The measurement of business performance implies the establishment of indicators that enable analysis of the achievement of organizational goals. Key performance indicators may be financial and non-financial. This paper aims to systematize theoretical knowledge related to business performance and to present methods of performance measurement, with a focus on contemporary performance measurement methods. The application of modern models and tools enables integrated analysis of operations and precise direction of organizational resources towards achieving competitive advantage.

Author: Mr.ecc. Irnesa Hašimbegović

The year 2025 began very demanding for taxpayers, but also for the Tax Administration of FBiH. With the adoption of a number of regulations and the announcement of tax reform, the Government of the Federation of BiH set ambitious goals and announced a very challenging year. In spite of this, every beginning of a new business year represents a difficult and demanding period for accountants, auditors, taxpayers, as well as for the Tax Administration. The annual financial statements are submitted at the end of February, and taxpayers still have until the end of March to submit the Corporate Income Tax Return, along with all accompanying attachments. Particular attention is always required when completing the Tax Balance. The numerous items and diverse circumstances place both taxpayers and tax inspectors in dilemmas. The text provides an overview of the most common situations when completing the Tax Balance as the basis for preparing the Corporate Income Tax Return and for determining the tax base for the calculation of corporate income tax.

Author: Mr.sc. Fahra Ćatović

Personal income tax for 2024 is finally determined on the basis of the Annual Personal Income Tax Return (Form GPD-1051), which the taxpayer is required to submit to the Tax Administration of the Federation of BiH by 31 March 2025. This text focuses on the obligation of taxpayers – natural persons (craftsmen and citizens) in relation to the determination of the final personal income tax liability, i.e. on the Annual Personal Income Tax Return – Form GPD- 1051 for 2023, as well as its annexes – other annual returns and reports. The methods are presented for determining: the types of taxable income, revenues and expenses, tax base, tax reliefs, tax credit and final tax liability. In addition, attention is drawn to those tax returns by which individual parts of income (schedules) were taxed during the year and which represent the “basis” for the preparation of annual returns and reports and ultimately of the Annual Personal Income Tax Return – Form GPD- 1051. The text further briefly points out all key factors relating to the Annual Personal Income Tax Return. In addition, property tax for 2025 is also covered. Keywords: taxpayer, income, personal income tax base, annual returns, tax reliefs, tax credit, final liability and property tax.

Author: Mr.sc. Asmir Mujanović, OR

The preparation of the corporate income tax return requires serious preparation and a very good and expert knowledge of regulations in this area, especially bearing in mind that a large number of accounting positions are valued and treated differently for tax purposes. For this reason, it is necessary to have well-organized tax accounting that provides all the necessary data in order to correctly calculate and report corporate income tax. The compilation of financial statements is most practical when started with the preparation of the income statement, where at a certain stage work is paused and the tax balance is prepared. A necessary step for completing the income statement is determining the corporate income tax liability. The preparation of the tax return requires compliance with and application of the Law on Corporate Income Tax and the Rulebook on the Application of the Law on Corporate Income Tax. Through the application of tax regulations to accounting profit or loss before tax, tax non-deductible expenses are added and items that reduce the tax base are deducted. Items that may reduce the tax base under tax regulations are tax incentives and tax exemptions. The prescribed tax rate is then applied to the thus determined base and the final tax liability for the reporting year is calculated.

Author: Mr.sc. Zlatan Imamović

We are witnessing a growing trend in the importance of transfer pricing control and in preventing attempts to shift corporate income tax liabilities between taxpayers through transfer prices. This paper provides an overview of the theoretical basis for control and proper treatment of transactions between related parties and presents four practical examples that will serve readers in practice as guidance and a template for action. The aim of this paper is precisely to help taxpayers to act correctly when applying legal regulations and obligations regarding transactions between related parties and in correctly completing mandatory forms with a presentation of the most common errors made by taxpayers. The paper presents definitions of transfer prices, taxpayers subject to the rules, transfer pricing methods and practical examples from practice. Each of the four examples contains a solution to the situation in the example, which can serve as a template for similar actions by taxpayers.

Author: Dr. Milica Vidović

Most dilemmas and uncertainties relating to VAT registration arise with respect to the question which supplies are subject to VAT, so that some persons are obliged to register for VAT and others are not, and also with respect to the question who may voluntarily register for VAT and under what conditions. In connection with the above, the question arises as to at what moment a person should submit a VAT registration application in order to avoid penalties imposed due to late submission of this application. Furthermore, another question which may cause confusion regarding the obligation to register for VAT is whether the legal form of the business entity, type of ownership, craft-entrepreneurial activity, activities of ministries, administrative organizations, local self-government units, etc. may have an impact on the obligation to register for VAT in terms of the existence of certain exemptions from mandatory registration. A taxpayer dissatisfied with the decision of the Indirect Taxation Authority (ITA) on registration and termination of registration has the right of appeal. It often happens that persons entered in the Single Register of Indirect Taxpayers as VAT taxpayers do not provide the ITA with up-to-date information on changes in certain data (e.g. new activity, new business unit, new transaction account, telephone number, etc.), although they are obliged to do so within the deadlines prescribed by law. This leads in tax practice to problems in executing VAT refunds, performing inspections, etc. There is also a lack of understanding of the obligation to submit VAT returns after the taxpayer has submitted a VAT deregistration application, whereas the obligation to submit VAT returns exists as long as the ITA has not deleted the taxpayer from the Single Register of Indirect Taxpayers, even in cases where that taxpayer has been deleted from the court register or another competent authority’s register. Since the area of VAT registration and deregistration involves a significant number of questions and dilemmas that taxpayers face on a daily basis, this paper will first explain the advantages and disadvantages of entering the VAT system. It will also point out who is required to register for VAT and which supplies, in accordance with the provisions of the Law on Value Added Tax, are subject to VAT, and then who may voluntarily register for VAT and under what conditions, as well as which documentation needs to be submitted to the ITA in order to be registered for VAT. The obligations that a VAT taxpayer has towards the ITA after registration for this type of tax will also be highlighted. The paper will explain the method and the addressee for submitting an appeal against the ITA decision on registration and termination of registration, as well as the time limits for its submission. In addition, it will explain how and to whom a deregistration request based on VAT is submitted, what must be attached to it, and what a VAT taxpayer must do in order for the ITA to delete them from the Single Register of Indirect Taxpayers.