Please note: The page below represents the archived content relating to the previous Government of Montenegro. Some of the information might be inaccurate or outdated.
Archive

ADDENDUM 1

Published on: Mar 10, 2006 3:29 PM Author: Tenderi
Republic of Montenegro
Government of the Republic of Montenegro
DIRECTORATE FOR PUBLIC WORKS
Our reference: 01-494/1
Podgorica, March 09, 2006

In accordance with Article 18 of the Public Procurement Law hereby:

ADDENDUM 1

Is issued to Tender Documents No. 05-1/06 for construction and commissioning o High School of Medicine and Bureau for Educational services, Examination Centre and Canter for Vocational Education.

Please provide clarification to the Tenderer:

1. We would appreciate to have your official statement on the payment of Interim Certificates with a view to the calculation and payment of VAT.

Namely, we understand that the respective Interim Payment Certificate (IPC) will be signed and verified by this Directorate, and the value of the works included therein will be shown with the pertaining VAT, that is to say the IPC will show the gross amount. This Interim Payment Certificate includes payments made to the local subcontractors, meaning VAT in Montenegro will be calculated in accordance with the Law. When the signed and verified Interim Payment Certificate is forwarded to the Investor for payment, this being the Hungarian party (Hungarian Bank), and the payment is made to the main partner e.g. Hungarian company in Hungary, the issue arises how will be VAT calculated on the Hungarian party, that is to say how will their VAT be calculated?

Enclosed you will find reply to this issue by the Ministry of Finace.

Please be kind to confirm receipt of this letter.

Faithfully,

Zarko Zivkovic, CE
D I R E C T O R

Enclosed: Statement of the Ministry of Finance




REPUBLIC OF MONTENEGRO
GOVERNMENT OF THE REPUBLIC OF MONTENEGRO
MINISTRY OF FIANCE

Our reference: 06-SL Podgorica, 08/03/2006


To: DIRECTORATE FOR PUBLIC WORKS
Attn: Zarko Zivkovic, Director



In relation to the Tenderer's inquiry referring to the construction of High School of Medicine and Examination Centre in Podgorica addressed to the Directorate for Public Works (Letter No. 01-337/2 as of 24/02/06), and with respect to the payment of the verified Interim Payment Certificates in part of calculation and payment of VAT, please be informed on following:

Pursuant to the provisions of Article 12 of the Law on Value Added Tax (Official Journal of the Republic of Montenegro No. 65/01...75/05), the VAT payer is a taxpayer who makes turnover of goods or services liable to the VAT payment in the Republic of Montenegro.

When the taxpayer has no registered head office, subsidiary, permanent e.g. regular stay in Montenegro, than the latter shall nominate a taxpayer agent that will act as the VAT payer.

In the light of the above-mentioned, the VAT included in the verified Interim Payment Certificate for referent works shall be attributed to the taxpayer who made turnover of goods or services in Montenegro in case the taxpayer has registered head office, subsidiary, permanent e.g. regular stay in the Republic of Montenegro or to its nominated taxpayer agent.


Faithfully,



Dusan Perovic
Assistant to the Minister
Is this page useful?