Sweden will award the first EUR 2.3 million promised at the Donors’ Conference to Kosovo to build the property tax administration. Sweden will send experts to Kosovo for this purpose.

The whole project will cost EUR 2.75 million with the leftover to be paid by the Ministry of Economy and Finance (MEF) of the Republic of Kosovo. The project will be implemented by the Department of Property Tax in this ministry.

“Adequate administration of property tax in Kosovo is very important and MEF not only has shown readiness to co-finance this project but has offered all resources to ensure the success of this project,” stated MEF Minister Ahmet Shala.

Shala said that since the beginning of the year the increase in the collection of this tax is up 47% compared to the same period last year. Shala, however, admitted that the collection in the Serb enclaves remains a problem, where not a single cent has been collected since the conclusion of the war.

Swedish state funds will be used to pay for Swedish experts and implementation technology.

“The important goal is for property tax to be seen as just and not differ between municipalities,” said Sten Fannberg, manager of the project from the Swedish Tax Agency.

The project will last two years and will involve the building of a customized software program for the administration of property tax and the registration of all property in Kosovo.    

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