There doesn’t exist a precise estimate of how much money will go into the state cash register, but if 73.000 tickets are sold for the planned 5 millions of euros, then it is expected that the TAV will be 350.000 euros.
It is calculated that the organizer will have significant expenses on which it should pay the entry TAV to the suppliers, and the income is expected also from the sale of food, drink, and other accompanying services.
Podgorica – If the organizer of the concert of the Rolling Stones in Budva in July this year sells the planned 73.000 tickets and of that makes the expected income of 5 million of euros, only based on that at les several hundreds of thousands of euros of tax should go in the cash register.
From the Tax administration of Montenegro they explained that on the direct income from the concert a tax on additional value is paid per rate of 7%, so they can expect a significant income from the TAV, if the organizer is a registered TAV tributary.
The organizer of the concert of the most expensive music group in the world is Municipality of Budva, which for that occasion engaged the Belgrade agency “Music star”, which is also registered in Montenegro.
With the law it is said that on the services of culture and tickets one does not pay tax if the organizer is an NGO organization. That, however, in the case of organization of the concert of Mick Jagger and his company is not the case. From the Tax administration they explained for “Vijesti” that if the income from the tickets should be 5 millions of euros, “then precisely they can say that the exit tax will be 350.000 euros”.
– The organizer will surely have significant expenses on which he should pay the entry tax to the suppliers, and in that way he has the right to take away that tax from the exit tax. The tax after the taking away which should be stooped to the music group can be paid through a foreign agency, so the organizer is obliged to include the tax of 15% from the total sum for payment – said for “Vijesti” from the Tax administration.
The organizer includes the incomes in the total of the business incomes, and in that way the Tax administration gets the income which undergoes the taxing.
According to the current regulations “the organizer is the payer of the incomes to the music group, and has the obligation to do and to stop also the payment f the tax after the taking away per rate of 15% on the base sum of money which represents the total amount minored for the documented or standard disbursements”.
From TA they stress that they have experience in monitoring of the manifestations when stars are performing in Montenegro, on which significant incomes are made.
– First of all they are estimating the direct incomes from the concert, that is the incomes which the organizers have, mostly from the sale of the tickets. Several times TA on the request of media gave answers concerning the jurisdiction and the measures which were taken during the organization of a concert with a great number of visitors – say from the Tax administration.
From this state organ they stressed that, for now, there is only “an announcement about the intention of holding of a concert in July this year, so taking of some measures based on an announcement would be premature”.
– Because of the same reasons it is premature to give precise estimates and to share them with media. The precise effect of the work of TA, in any segment can bi given after the terminating of the procedure, and for sure we can not determine in advance the tax that someone is obliged to pay. The statements in this conversation are just a supposition, and TA is taking over the measures of control and measure of charging immediately after the official announcement of the holding of the concert. Usually you get the information first from the organizers – they pointed out from TA.
Then we do an insight in all the contracts and other documents related to the holding of the concert, we demand from the organizer also to place the cash registers in the places where the turnover is charged in cash, and also to get all other necessary information, which are significant for charging of the tax.
– It is expected that other persons will have the income (for example from the drink and food) and that basically a mini plan is made, so that everyone is included in the measures of TA – they say from TA.
M.M. – D.M.C.
SPECIAL MEASURES DURING THE CONCERT
At the question whether for this occasion they will engage a bigger number of assessors for monitoring of the organization and the musical spectacle itself, from the Tax administration they said that this kind of events demand a more enforced work of their employees.
– First we will do the check up of the documents, and make an estimate of the possible incomes, identify all persons who will get some income. The measures are undertaken during and after the concert, and tax inspectors are obliged to be professional in their work, so that their work is effective, and they have to be fair to organizers and other assessors – explained from TA.