The report presenting the results of comprehensive research on Bosnia and Herzegovina’s tax environment and private sector satisfaction when interacting and using tax administration services has been published, as part of the USAID Fiscal Reform Activity in BiH (FRA). FRA is a five-year USAID-funded Activity working with the ministries of finance and tax administrations in Bosnia and Herzegovina to improve direct tax legislation framework, efficiency/efficacy/capacity of tax administrations, and business environment. Furthermore, the Activity aims to build on and expand fiscal sector reform to increase efficiency, reduce tax compliance costs, and align the country’s regulatory framework with international and European changes in the international tax environment. The Activity is envisaged to last until September 2028.
CREDI, as a subcontractor to FRA, conducted data collection and to some extent analysis for the Private Sector Analysis Report. The research focused on identifying challenges within BiH’s tax policies and administration and proposing recommendations to address issues within areas of tax environment, cooperation with tax administrations, digitalization of tax administrations, tax administration websites, tax evasion/tax avoidance, international taxation, fiscalization and gender equality and social inclusion. It included an analysis of the regulatory framework, a survey of companies, and focus group discussions with private sector representatives. These activities were designed to provide actionable insights for aligning the country’s tax system with international standards and fostering a more efficient market economy.
The final report presents detailed findings and practical recommendations to improve the tax and business environment in BiH. The results are now available and offer valuable perspectives for policymakers, stakeholders, and the broader public. The report can be accessed here.