One of the main changes will be a new procedure for short-term rental services. According to investing.com, Airbnb and Booking platforms will be obliged to calculate, withhold and transfer VAT to the Montenegrin budget from each booking if the property owner is not registered as a tax payer.
In fact, online marketplaces will receive the status of tax agents of the state. The new rules should bring out of the shadows a significant part of the rental market, especially on the Adriatic coast, where many landlords rented apartments to tourists without full tax reporting.
The reform will also affect foreign digital services. The law introduces a threshold of 10,000 euros: once this threshold is exceeded, foreign companies providing online services in Montenegro will be obliged to register with the local tax system.
E-commerce and IT business willbe subject to the new tax
The changes will affect not only the tourism sector. The authorities intend to strengthen control over online commerce, cloud services, subscription platforms and IT business. Remote sales of goods, digital products and services based on artificial intelligence will fall under the new rules.
At the same time, the government is expanding taxation in the construction industry. It is now planned to charge VAT on the sale of land plots for construction, as well as on the first sale of new buildings and on certain transactions involving shares in construction companies.
Real estate market experts warn that the new requirements may increase administrative costs for developers and affect the cost of housing.
Montenegrin authorities say the reform is aimed at creating a transparent digital economy and fighting tax evasion. For businesses, this means an increased tax burden and tighter financial control.
