Private education to be subjected to VAT

TIRANA, Dec. 24- Private schools, private universities and other private education entities will now be subject to a Value Added Tax (VAT). The decision was taken in the Economy Commission of the Parliament. All services offered by these institutions now will be taxed at 20 percent. According to experts from the Finance Ministry, the fact that these institutions were exempt from VAT did not make them offer the services to their customers at lower prices. The Commission has also approved other changes in the law that regulates VAT, introducing Non-Governmental Organizations (NGOs) to VAT for secondary goods and services. Up to now, these organizations have been exempt as well, but according to experts this has caused disruption in the market.