The Deputy Executive Director of Nova Pobjeda and tax advisor, Ms. Milena Golubović-Todorović, stated that the boycott of retail chains in Montenegro raises a series of questions concerning the economic, social and political aspects of such initiatives.
She emphasized that it should not be forgotten that Montenegro’s economy has a high level of import dependence, which means global factors significantly impact the cost structure.
Adding to this are the increased excise products, customs duties, and significant increases in labor costs. As a result, we can expect real increases in sales prices. Analyzing the financial indicators for the company Voli for the business year 2023, it can be concluded that the company paid a total of €79,037,691 in fiscal taxes to the state budget of Montenegro in that year (excise duties and customs €20,099,114, VAT €50,143,747, personal income tax and contributions for mandatory social security €6,199,937, corporate income tax €2,594,893). If the “boycott of retail chains” continues, does the government have a solution for replacing the revenue, and is new borrowing on the horizon as a temporary alternative to finance public expenditures? – Golubović-Todorović asked.
She emphasized that it is crucial to seek solutions and that by fostering cooperation between the state and retail chains, sustainable price reductions and a better economic position for citizens can be achieved without harming the domestic economy.
If the government were to reduce tax burdens, these measures would directly affect the reduction of sales prices, thus preserving Montenegro’s economy – Golubović-Todorović concluded.
