In the fast-paced world we live in, understanding financial terms such as wages, tax obligations, margins, income net and gross is crucial but often overlooked due to our busy schedules. As the need for financial knowledge increases, so does the demand for tax advisors, who are becoming increasingly necessary in the coming years.
Zoran Vukićević, President of the Chamber of Tax Advisors of Montenegro, points out that with the growing number of tax obligations, especially with Montenegro’s potential EU accession, both businesses and individuals will have an increasing need for tax advice.
The Chamber of Tax Advisors is an organization that brings together experts in the field of tax consulting. With extensive experience and high professional standards, its members offer high-quality tax advisory services to clients.
Vukićević explains that every tax advisor must be employed by a legal entity or registered as an independent consultant. The goal of the legislation is to gradually expand the scope of tax-related activities to include tasks such as preparing employment applications, corporate tax filings, personal income tax returns, property tax declarations, and a variety of other required submissions.
He emphasizes that tax advisors will have to assist both businesses and individuals in managing these responsibilities. Furthermore, to protect against harmful tax advice, tax advisors will be required to have professional liability insurance.
Vukićević also notes that more businesses are adhering to tax payments, and in areas where tax advisors are active, there is a 99% likelihood of no tax omissions, barring complex cases. However, many citizens may not be adequately educated in tax matters and will increasingly need advice on areas such as property taxes and taxes related to property transactions.
With Montenegro’s potential EU accession, the range of tax advice needed will grow, especially as more citizens seek assistance with understanding tax assessments that seem illogical or excessively high.
The importance of tax knowledge is also evident in the increased interest among citizens regarding salary increases over the past two years. This has been particularly prominent with the reduction or elimination of salary contribution taxes, leading to a 16.2% tax burden on wages—the lowest in Europe.
Vukićević observes that, historically, citizens were often indifferent to tax matters, but as the country evolves, there is a growing recognition of the need for economic and financial literacy.
For employers, the increase in wages, particularly the transition to legal salary distribution, has made business operations easier but also emphasized the need for businesses to stay informed about the broader economic trends.
The Chamber of Tax Advisors of Montenegro places a significant emphasis on education and continuous professional development for its members. In collaboration with government institutions and the private sector, the Chamber actively contributes to improving tax and customs legislation, harmonizing tax practices, and supporting Montenegro’s overall economic development.
Knowledge of nine economic areas
Since December 2020, when the Ministry of Finance organized the first examination for tax advisors, 28 candidates have passed the test. The exam, according to Vukićević, is demanding, covering nine areas of expertise, and takes about six weeks to complete. In Germany, the pass rate is only 45%, highlighting the exam’s complexity.
The exam, required for obtaining a license, covers the entire tax and customs legislation, as well as accounting and administrative law. A tax advisor must be knowledgeable in these areas to provide proper advice on tax-related matters.
In addition to passing the exam, tax advisors must obtain approval from the Ministry of Finance and register with the Chamber of Tax Advisors to offer services to the public and businesses.
