Podgorica, (MINA-BUSINESS) – Amendments to the Excise Duty Law, proposed by Europe Now Movement (PES) MP Tonci Janovic, would abolish the possibility for contractors and subcontractors working on the Bar–Boljare motorway project to claim refunds of part of the excise duty paid on gas oil above certain thresholds.

Janovic said the state cannot permanently maintain special tax rules for a single project, contract or group of companies if the reasons for introducing those benefits no longer exist.

“These incentives were introduced as a temporary measure for the implementation of the first phase of the motorway project. Today, that contract has expired and the section has been completed. Therefore, we are not talking about abolishing a right, but about ending a special regime that no longer has any economic justification,” Janovic told Parliament.

He explained that the amendments send a clear message that the state will no longer create permanent tax exemptions without a clear rationale and public interest.

Member of Parliament Nikola Janovic of the Democratic Party of Socialists (DPS) said the law should be welcomed because it aligns with EU standards. 

“We want to suppress the grey market when it comes to excise goods,” Nikola Janovic said.

Bosniak Party (BS) MP Mirsad Nurkovic said the bill could be very important when discussing funding gaps for future projects, social programmes or pension benefits.

He recalled that the contract signed by the Government with the contractor for the second section of the motorway is worth nearly €700 million.

“Within that €700 million there is sufficient room for the companies involved to operate profitably, and there is no need for foreign contractors to receive additional exemptions from obligations they owe to this state. This is not a social project, but a development project,” Nurkovic said.

Social Democrats (SD) MP Boris Mugosa said the legislative proposal is justified because it is being adopted under circumstances very different from those that existed when the first phase of the motorway project began 12 years ago.

(kraj) jlb/sam