The tax system in the Republic of Albania consists of a package of laws, instructions, regulations, tax agreements with other countries, which reflect the types of taxes and fees applied in Albania, their levels, procedures for establishing, amending and removing taxes, procedures for assessment and collection of tax liabilities, as well as forms and methods of tax control.
Albanian legislation provides for the main taxes and duties as follows:
- Corporate Income Tax, Simplified Tax on Small Business, Personal Income Tax, Value Added Tax, Withholding Tax, Excise Tax, Local Taxes, National Taxes.
- The entrepreneur, as a taxpayer, is obliged by law to pay taxes, fees or social and health insurance contributions, as well as to withhold tax.
- A tax regime is independent of the form of organization or legal personality of a person with the status of trader. Determinant is the turnover (turnover) realized during a tax period (calendar year).
According to the tax regime to which they belong, as well as the tax responsibilities they have for each regime, entrepreneurs are divided into the following categories:
- Taxpayers of profit tax and value added tax
- Taxpayers of simplified profit tax and value added tax (VAT)
- Simplified profit taxpayers.