TAX RETURN OF APPROX. 60 MILLION BOSNIAN MARKS BEGINS

SARAJEVO, Bosnia (February 12,2008) – The Bosnian Tax Authority started yesterday the value added tax (VAT) return process for all tax payers in Bosnia, as it was confirmed by the Bosnian Tax Authority Spokesperson Ratko Kovacevic estimating the amount to approx. 60 million Bosnian Marks.

The Bosnian Tax Authority Managing Board President Peter Nicholl unblocked the VAT return process on February 6, which was paused in the past 30 days since the designated 10 % of the account was insufficient for completion of all VAT return demands.

Kovacevic stated that the Authority received Nicholl’s decision on Friday, which ordered that 10 % will still be set aside from the total amount of gathered assets at the account of minimum reserves from which the Authority returns the money to tax payers who earned the right to VAT return.

"However, this decision gives a possibility to the Bosnian Tax Authority in case this 10 % is not enough, for the difference to be taken from the account in order to primarily execute all VAT returns and then rearrange the assets for users, state, entities and the Brcko District”, stated Kovacevic.

In accordance with Nicholl’s decision, from today there should be no more blockages in the VAT return process since the Bosnian Tax Authority has an option to perform all returns first and then divide the rest of the amount to tax users.