Value Added Tax (Данок на Додадена Вредност - ДДВ) in North Macedonia
VAT in North Macedonia is governed by the Law on Value Added Tax and administered by the Public Revenue Office (UJP):
- Standard DDV Rate: Flat 18.0% on general supplies of goods, commercial services, and customs imports.
- Preferential DDV Rate (5.0%): Applies to basic human foodstuffs, agricultural inputs, pharmaceuticals, public utilities (water), software licenses, and books.
- Preferential DDV Rate (10.0%): Applies to restaurant food and beverage preparation, and hotel accommodation.
- Mandatory Registration Threshold: Any business with annual turnover exceeding 2,000,000 MKD (approx. €32,500) during the preceding calendar year must register for DDV.
- Reverse Charge (Article 32): When Macedonian legal entities procure digital or professional consulting services from foreign suppliers, 18% reverse charge DDV applies.
Statutory Regulatory Framework: Compliant with the Law on Personal Income Tax, Law on Profit Tax, Law on Labor Relations, and official decrees issued by the Public Revenue Office (UJP / УЈП), RKE, and Customs Administration of North Macedonia.