The representatives of Our Party at the state and federal level, Mia Karamehić Abazović and Amir Purić, presented today legal initiatives that place games of chance within the framework of fair and responsible taxation, with a clear direction of revenue to health and other areas of public interest.
Representative in the House of Representatives of the Parliamentary Assembly of Bosnia and Herzegovina, Mia Karamehić Abazović, referred to the parliamentary procedure the Bill on Amendments to the Law on Value Added Tax of BiH, which abolishes the exemption of games of chance from payment of VAT.
“Today, games of chance are the only legal activity that creates addiction, realizes a turnover of several billion KM, and is not taxed at the state level. Alcohol and tobacco products, on the other hand, are taxed with excise and VAT precisely because of the harmful consequences they have on the health of citizens. There is no fiscal, legal or social reason for games of chance to remain in a privileged position compared to all other activities, including those that are of vital importance to citizens,” said Karamehić Abazović.
She added that the exemption of games of chance does not belong to the logic of the VAT system, because it is an activity that is neither financial, nor insurance, nor a service of general interest, and that it is unacceptable that VAT is paid on food, medicine, books and medical equipment, while at the same time it is not paid on an activity that produces serious health and social consequences.
They achieve a turnover of almost 2 billion, the Federation’s income is less than 35 million KM
A representative in the House of Representatives of the Parliament of the Federation of Bosnia and Herzegovina, Amir Purić, presented a proposal for amendments to the Law on Games of Chance of the Federation of Bosnia and Herzegovina, which ensure a stable and long-term source of funding for healthcare.
“Today, the Federation receives less than 35 million KM per year from activities that generate a turnover of around 1.8 billion marks. With the proposed changes, that amount increases to at least 150 million KM per year for the Federation, with an additional 50 million KM for local communities. This is a matter of elementary fiscal fairness,” Purić pointed out.
It was especially emphasized that, from the entry into force of the law until the complete closure of the waiting list for oncology patients in the Federation of Bosnia and Herzegovina, the funds collected on the basis of taxes on payments and profits will be directed to a special account and used exclusively for that purpose. After that, the law precisely defines the distribution of funds for the treatment of serious and rare diseases, the procurement of medical equipment, the strengthening of health infrastructure, the fight against addiction, as well as support for science, culture, sports, entrepreneurship and the protection of women who are victims of domestic violence.
Our party says that it is a popular but not a populist policy.
“Citizens very clearly recognize the extent of the problems that games of chance produce and demand adequate taxation of this activity. Calling such proposals populism is most often a substitute for a lack of arguments and comes precisely from political circles close to betting lobbies,” it said.
The EU directive leaves member states with the option, in accordance with their own conditions and restrictions, to tax certain types of games of chance, which countries such as Belgium, Ireland and Germany already do.
It was concluded that the changes to the law at the state and federal level have a clear goal of protecting the health of citizens, strengthening public institutions and ending the long-standing tax privilege of the gaming industry, whose turnover at the level of both entities and the Brčko District already exceeds 2.5 billion KM per year and is growing from year to year. Focus.
