The Croatian parliament has approved the planned changes to the country's Value Added Tax (VAT) Law on 25 November 2014. The key changes are as follows:
- The option is introduced for businesses with annual turnover not exceeding HRK 3 million to use cash-based accounting instead of accrual basis accounting whereby VAT is paid or charged when there is a settlement of an invoice
- The supply of buildings will be VAT exempt, including the land on which the buildings are built
- The EU change in th…