Rulebook on Determining Goods and Services in the Field of Construction for the Purpose of Determining VAT Payers, envisages that goods and services are all goods and services supplied within the sector F – Construction (according to the Decree on Business Activity Classification), with the exception of supplies made in the following activities:
- 4110 – Development of building projects;
- 4313 – Ground testing by drilling and boring; and
- 4339 – Other finishing works.
This practically means that now, for all supplies of goods and services (or services only) in the construction industry (except for the above mentioned activities) self-taxation principle applies (i.e. reverse-charge mechanism), according to which the recipient of these goods and services/services is obliged to calculate VAT on received supply.
It should be noted that, for the purpose of applying the above amendments, the registered business activity of the supplier in the field of construction with Serbian Business Agency Registers is not relevant.