Tax

Corporate tax, VAT, transfer pricing and global mobility for local companies and multinational groups: compliance and planning, from one team.

Our tax team guides multinational and local groups of companies in developing tax strategies that maximise planning benefits and meet all compliance requirements of local tax legislation.

Structuring international transactions in a tax-efficient manner demands the expertise of a specialist adviser. Our goal is comprehensive and practical tax solutions that help businesses meet their local and worldwide tax and statutory responsibilities, and achieve cost efficiencies in line with each company’s risk profile.

Corporate tax

Our tax teams handle everything from straightforward compliance to complicated tax planning; compliance is only the beginning. Whether your business is owned domestically or from abroad, our corporate tax specialists bring thoroughness and a wealth of knowledge of local corporate tax law and business conditions.

Advising on tax compliance requirements and preparing the necessary returns and declarations
Negotiating with the Albanian tax authorities to secure rulings and resolve disputes
Advising on available tax incentives and preparing the claims
Advising on the structuring of transactions
Due diligence into the tax affairs of acquisition targets

Indirect tax (VAT)

Businesses trading internationally face a complex array of indirect taxes: VAT, sales taxes, customs and excise duties. The burden of administering them usually falls on the supplier, and stiff financial penalties await those who get it wrong. Nexia member firms’ tax specialists guide multinational clients through the world’s indirect tax systems.

Information about the indirect taxes in force in Albania and in more than 100 countries worldwide
Advice on business structures that mitigate the effects of indirect taxes and give a competitive advantage
Acting as VAT representative for businesses in Albania: the tax authorities require foreign businesses to make such an appointment before they can trade in the country
Negotiations with the Albanian tax authorities and the resolution of disputes

Transfer pricing

Transfer pricing refers to the pricing policies groups adopt for transactions between their companies, such as the sale of goods, the provision of services or the use of technology and intangible assets. Compliance requirements, country-by-country reporting and an ever-changing landscape make it one of the most fundamental tax issues facing multinational businesses. Our transfer pricing specialists across the network collaborate to deliver global solutions.

Advising on appropriate pricing for transactions with affiliates, using proven economic databases that minimise the risk of successful challenges
Preparing the annual notification on transfer pricing
Documenting a group’s transfer pricing policies: Albanian legislation lets the tax authorities demand this documentation and impose heavy penalties if it is missing or inadequate
Defending a group’s transfer pricing policies when challenged by the Albanian tax authority
Negotiating Advance Pricing Agreements (APAs): under Albania’s APA facility, a group’s transfer pricing policies are voluntarily disclosed to the authority and discussed

Global mobility tax services

International groups with staff on assignment overseas benefit from supporting their employees so they can concentrate on their work. Careful planning around expatriate taxes and social security can minimise the burden for both employees and employers, including pre-departure and return tax planning and compliance.

Entry interviews to familiarise newly arrived expatriates with the tax and social security systems
Preparing tax returns for expatriates for the duration of their secondment
Dealing with any other filings required during their stay
Exit interviews at the end of the secondment
Preparing letters of assignment for employees moving abroad
Payroll implications of employees moving abroad
Dealing with immigration requirements

Questions we often hear

Do foreign businesses need a VAT representative in Albania?

Yes. The Albanian tax authorities require foreign businesses to appoint a VAT representative as a precondition for being allowed to trade in the country. We can act in that role.

What changed with the new Income Tax Law?

Law No. 29/2023, effective from 2024, brought changes from revised taxpayer categories to the depreciation method, bad debts, long-term contracts and tax losses carried forward. Read our summary.