The Municipal Assembly of Herceg Novi has adopted the Decision on the Write-Off of Interest on Overdue Tax Obligations, published in the “Official Gazette of Montenegro – Municipal Regulations”, No. 014/25 of April 8, 2025. This decision provides significant financial relief for all taxpayers – both individuals and legal entities – who have outstanding obligations to the local government.
What Does the Decision Include?
The decision applies to interest that has been calculated but not paid on local tax obligations that became due by December 31, 2024. The covered obligations include:
- Local taxes,
- Fees,
- Charges, and other local dues introduced by the Municipality of Herceg Novi.
Who Is Eligible for the Interest Write-Off?
According to Article 2 of the Decision, any tax debtor may be eligible for the interest write-off, including:
- Legal entities,
- Parts of legal entities,
- Entrepreneurs,
- Individuals,
…provided that they:
- Have submitted all tax returns due by December 31, 2024;
- Fully pay the principal tax debt within 60 days from the date the Decision enters into force;
- As of the effective date of the Decision, have calculated interest but have already paid the principal debt in full.
How to Apply?
The request for interest write-off must be submitted to the Local Public Revenue Administration of the Municipality of Herceg Novi no later than 60 days from the date the Decision enters into force. The application must be submitted using the prescribed ZAOK form, which is an integral part of the Decision.
What Else Should You Know?
- The interest is written off in full, but only for tax obligations where the principal amount has been completely paid.
- In cases not regulated by this Decision, the Law on the Write-Off of Interest on Overdue Tax Obligations (“Official Gazette of Montenegro”, No. 88/24) will apply.
- The Decision enters into force eight days after its publication in the Official Gazette.
This decision by the Municipal Assembly of Herceg Novi represents a concrete step toward easing the burden on taxpayers and encouraging the timely settlement of obligations. Since the timeframe is limited, all eligible parties are encouraged to submit their requests on time and take advantage of this opportunity to settle their debts without additional interest.
For more information and access to the ZAOK form, contact the Local Public Revenue Administration of the Municipality of Herceg Novi.
Other categories