Albanian NGOs complain of taxes

TIRANA, Jan 19 – A group of Albanian non-governmental organizations have sent an open letter to Prime Minister Sali Berisha to protest against the application of value-added tax, VAT, on non-profit organizations, calling it a serious threat to the existence of civil society in Albania.
Though the Albanian non-profit sector is thriving with hundreds of NGOs registered in Tirana, most of them are poor and heavily dependent upon foreign donors. Once applied, the VAT of 20 percent on products and services would add a heavy burden on their budgets.
“VAT for NGOs, is seen as a lack of respect toward the mission that the civil society fulfills in Albania,” the group said in a statement, adding that the introduction of VAT was troubling not only them, but also the community of donors that support Albania.
Albanian NGOs have drafted proposals for legislation and have begun lobbying for reforms in a broad spectrum of priority areas, including the environment and social issues.
Former government officials, civil servants, and academics are increasingly moving into the non-profit sector in what is becoming a two-way process, as staff of think tanks and other NGOs find work in the public sector.