Untaxed interest on foreign currency savings by end of year 2009

Starting today (January 30, 2009), the citizens of Serbia who have foreign currency saving deposits will not have to pay the tax on interest on their saving deposits until the end of year 2009.

The Law on temporary exclusion of certain types of incomes from taxation process, which has been put in effect today, stipulates that the interests on foreign currency saving deposits should not be taxed in 2009 because of the economic crisis.

That interest has, so far, amounted to 20%, and Dinar saving deposits were excluded from taxation.

Tax on interest on foreign currency saving deposits was also temporarily revoked before for the sake of promotion of saving in banks and in order for the funds for economy sector to be provided.