Tipping could become compulsory in Serbia

Tipping could become mandatory in Serbia.

For years, restaurateurs have been trying to find an acceptable solution for handling tips with the tax authorities. According to the current legislation, inspectors severely penalise excess money they find in cash registers of bars, restaurants, fast food establishments and similar.

Judging by the recent statement by Finance Minister Siniša Mali, Serbia could follow the example of countries that have included this gesture of generosity in their tax accounts.

HORES, the trade association of the hotel and catering industry, proposes that tipping be limited to 10% of the bill and recorded at the till.

“The problem of tax treatment and taxation of tips has been weighing on the activity of hoteliers and restaurateurs in Serbia for a long time,” says Georgi Genov, president of HORES. “If the tax inspection detects surplus money among employees compared to the amount of money that is supposed to be deposited at the cash register, it files a complaint against the employers for violations for which draconian fines of up to two million dinars for legal entities and up to 500,000 dinars for small businesses and individuals are prescribed. A temporary ban on operating their business for at least 15 days is also imposed.

A solution is not yet on the horizon, but it is clear that the authorities are considering this proposal. It is said that tipping could range from 10 to 12% of the total bill, and restaurant owners have already made it known that they will not decrease the price of their services at the expense of tipping.

(Biznis i Finansije, 19.09.2021)



This post is also available in: Italiano

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