TIRANA, April 20 – Business associations continue voicing concerns over a government legal initiative making the registration of businesses with the country’s public chambers of commerce compulsory by paying an annual membership fee.
In a hearing with the parliamentary trade committee this week, private-run business associations described the draft law as a new tax which increases business costs and strengthens public-run chambers of commerce.
Representatives of foreign chambers of commerce strongly oppose the provision that big businesses have to pay membership fees of 0.05 percent to 0.07 percent of their annual turnover to public chambers of commerce, describing it as fines to businesses. Under the proposed bill, a big business with an annual turnover of 1 million euros would have to pay €500 in annual membership fee to public chambers of commerce.
The bill, which has been pending approval for three months in parliamentary committees, has also been opposed by opposition MPs and even some MPs within the ruling majority.
Foreign business associations operating in the country have sent a letter to diplomats in Tirana informing them businesses are categorically against the compulsory membership with public chambers of commerce and ask for redrafting the law with their participation.
Two of the biggest foreign chambers of commerce, the American Chamber of Commerce and the Foreign Investors Association of Albania, have strongly opposed the bill.
“The American Chamber estimates that this obligation will increase business costs and prevent the opening of new businesses. The initiative to strengthen public chambers is being undertaken by imposing a hidden tax on businesses,” Lorenc Gjoni, the AmCham executive director has earlier said. The Chamber also expresses its concern over the government’s repeated legal initiatives without previously consulting the business community.
“The government is repeatedly undertaking initiatives and approving laws in the economy sector without consulting business associations,” Gjoni has said.
The Foreign Investors Association has also questioned the bill which it describes as a hidden tax not guaranteeing the kind and quality of services public chambers of commerce provide in return for the compulsory payment.
Last December, the Albanian government approved a draft law that obliges big businesses to join chambers of commerce and pay an annual membership fee. Membership on smaller businesses operating as a natural person has been left on a voluntary basis.
The draft law came after the compulsory membership of businesses in chambers of commerce was lifted in 2007.
The bill comes after public chambers of commerce and the Union of Chambers of Commerce and Industry of Albania have been facing financial trouble due to low membership, risking their membership in international and regional chambers.
“The increase in income will enable the chambers and of the Union of Chambers not only to fulfill their obligations stemming from international agreements with associations such as EuroChambers and the Association of Balkan Chambers, but also conduct normal activity in offering services to meet their legal obligations toward their members,” says the bill.
