The Rulebook on exemption from tax on capital gains realized by the transfer of copyright and related rights and industrial property rights has been published

The Rulebook on exemption from tax on capital gains realized by the transfer of copyright and related rights and industrial property rights has been published

In the “Official Gazette of the RS”, No. 71/24 of August 16, 2024, the Rulebook on exemption from tax on capital gains realized by the transfer of copyright and related rights and industrial property rights has been published. The Rulebook applies from August 24, 2024.
The Rulebook prescribes in more detail the exercise of the right to exemption from tax on capital gains realized by the transfer of deposited copyright and related rights and registered industrial property rights (trademark, patent, small patent, industrial design, topography of semiconductor products and rights of breeders of plant varieties), which the capital gains tax payer enters in full as a non-monetary contribution to the capital of a business company resident in the Republic of Serbia, as well as the loss of the right to tax exemption (in accordance with Article 79b of the Law on Personal Income Tax).

In order to realize the right to tax exemption, it is necessary that the rights are:

• entered entirely as a non-monetary contribution to the capital of a resident company and

• that the market value of those rights for the purposes of entry is determined by an assessment by an authorized appraiser (forensic expert or auditor/auditing company that performs capital value assessment).

In the event that the company disposes of the acquired rights in their entirety within two years from the date of acquisition, or assigns them for use in whole or in part to a related party, at a price lower than the market price, it is obliged to notify the taxpayer within eight days on losing the right to tax exemption.
The taxpayer is obliged to inform the competent tax authority about this within 30 days from the day of the loss of rights, whereby the tax liability will be considered due at the moment of entering these rights into the capital of the company.
The right to tax exemption is determined by the decision of the competent authority based on the submitted tax return on Form “PPDG-3R” and prescribed documentation.

We are at your disposal for additional advice.
IB Interbilanz Consulting & Audit d.o.o. Beograd