(Official Gazette n. 62/06, 31/11, 119/12, 139/14)

Together with the laws in the field of taxation, the National Assembly of the Republic of Serbia adopted Amendments to the Law on Foreign Currency Transactions on the on the 19th April 2018, entering into force on the 28th April 2018, as proposed by the Ministry of Finance. The aim of the changes is to improve the payment system in the country, improve business through the platform PayPal and to adjust the laws to the European model, based on the commitments undertaken in the Stabilization and Association Agreement with the European Union.

1. It is possible for foreign individuals and legal entities to pay their donations through the PayPal and other platforms for the cash transfer, to the humanitarian organizations in Serbia in case of natural disasters (floods, earthquakes, natural disasters, etc.), according to article 32.
2. Citizens of the Republic of Serbia will be able to invest in long-term and short-term securities issued by the European Union and companies based in the EU, which, until now, was not possible. Also, our citizens, residents and branches of foreign companies in Serbia, will be able to borrow money from foreign creditors, as opposed to the current practice that the majority owner of the creditor must be a resident of Serbia following article 13.
3. The amendments, furthermore, specify provisions on exchange operations, particularly on meeting the requirements for obtaining a license for exchange offices given by the National Bank of Serbia(?) to perform the activity, and the conditions under which the National Bank ofSerbia may revoke the license. These competences are exempt from the Tax Administration obligations and, from now on, exchange control and control of exchange activities will be performed only by the National Bank of Serbia and the customs or other competent authorities. In accordance with these amendments, the provisions on criminal liability for offenses in the field of foreign currency operations are explained. In order to allow a transitional period for the assumption of jurisdiction between state bodies (especially Tax Authorities and the National Bank of Serbia), vacatio legis of these provisions will continue until 1st January 2019.