Ginny: Gjakova to lose 2.4m euros in tax pardon decision

Sitting in his office at the provisional facility of the Gjakova municipality, President Ardian Gjini, speaks in an interview for Kosovo Preress about the recent decision to pardon property tax. According to him, in this matter, the Government has made <x0 wrong after error”, and this is due to stubbornness and without any consultation with the Republic Committees.

Djindin says they are aware that realisation of property should be done, but it has been possible to postpone this process while with legal changes for public and local finances being given space to municipalities to be more flexible in establishing tax rates.

Gjakova's leader says that already with property reassession there are considerable differences among the areas. Some pay a lot, some areas pay less. While tax forgiveness makes it completely wrong.

In the Gjakova municipality, we take it as an example, of 42 thousand properties that pay registered taxes, 32,000 properties have a tax value below 100 euros. So they pay less than 100 euros. Somewhere only ten thousand properties pay more than 100 euros, no matter what. What it means is, according to these standards that have been released, 32 thousand property owners don't have to pay. It's wrong, it's very wrong, because establishing the culture of paying taxes on property is initially vital for building state culture in Kosovo. It's even settled in Gjakova, and it's a huge majority who pay their own taxes on property. The value it had to play for us is 2.4m euros”, Djind says.

Djindey predicts that 2025 will be even more difficult, since according to him, a large drop in a large increase of <x0 will be at a large increase of” due to the progressive tax imposed and tax rates for many users will rise more.

Another concern for Gjakova chairman is the circuit for municipalities for next year. According to him, they are charged with collecting 3.3m euros from their property tax, but with the other tax forgiveness law, they will not receive an additional 2.4 million, nor will they be able to recover.

The lack of income from property tax that goes exclusively into capital investments risks several projects in Gjakova.

The Ministry of Finance releases us for our own revenues for 2024 and in that circuit, in those documents that we get, which are official, that we should respect, we are obliged to collect about 3.3 million euros of property tax. They tell us to collect 3.3 million taxes on property. Now we have the budgetary framework. We look at it to collect 3.3 million, and those means that come from their own property tax, all go to capital investments, don't dare go anywhere else. At the same time, we now have a law, under which from that 3.3 million, 2.4 million are just gone. We don't take... This presents us with huge problems even for capital projects that we will not be able to continue and we will develop next year i.e. that's a pretty big problem for”, then Djind.

Djind is also dismissing claims by Finance Minister Iron Murati that the municipalities will enjoy higher budgets for next year. According to him, “s) has math” that argues those claims to the minister.

If the Constitution does not impose temporary measures to suspend implementation of the law for the forgiveness of 100 euros of tax until a final decision, then Djind says they are seeking clarification on how to get a solution.

We're asking for clarifications of what the possibilities are that determine whether this law remains in force, whether there is any Constitutional Court decision to freeze or suspend implementation, then we need to have no possibility of sharing the areas we are, because once again I'm telling you, it's extremely wrong for the future of this country and the citizens themselves to have big disrepute, to have our fellow citizens who don't pay any taxes, some of us pay”, said the chairman of Gjaova.

Another decision that has disturbed Djind is that of the Ministry of Education for Repaying School Books. Gjakova's head said such a decision should have come earlier and not ten days before learning begins.

The Kosovo government is extremely late. All procedures and decisions had to be made much earlier... It's especially a problem for a class of students whose families don't get very well financially. There's also a problem for teachers who will be facing students who will have textbooks with others who will not have textbooks, there's a problem. It is not surprising to me why this decision is made in the third week of August. If it had come earlier, yet the parents had been somehow found, but even the renovation might have happened earlier, now I'm telling you that the odds are, that September will go very problematicly to our schools, and don't forget that it's only eight months old, it's eight, it's eight, I'm absolutely convinced we have problems this year, because they're late, and they're late on whatever decision”, Gyne claims.

He says there have been investments in many municipal schools, and all are expected to be ready to welcome students on September 1st, the date when the new school year 2023/24 officially begins.

In addition to schools, Djind says important projects are under way throughout the municipality territory. Because of the budget, it says the volume of capital investments is high and as never before in city history.

If the tax pardon law does not pass the Constitutional Test, Djind warns that next year Gjakova will be among 3 municipalities with mostly capital investments.

At the moment, the largest project in which even greater costs are worked, which is an investment in the municipality, is the way we call the Pec exit, now from the Court to the village of Oac, are two segments, two pounds. It's both being worked on, and the value of all expropriation exceeds 7 million... Gjakova has been one of the largest beneficiaries of the performance grant, due to municipal performance, is working out for the Wicked Reca and Qafe Morina, Albania... It is being worked at the city stadium with an investment in the municipality, working in two banks, in the east stand, in the south stand, and on the football field, and all these work is being completed by June of next year. We have signed the contract for the complete rehabilitation of the city center, which has remained so that 50 years have not changed sidewalk stones, sidewalks, asphalt, traffic lights, greenery, mounted vases, everything will be different in the city center... The upper part of the Krena River, the longest segment is already being worked on, is a 1.4m-euro municipal investment project”, Djind said.

The Gjakova municipality does not have any new project on the Government of Kosovo, but those of the past years that are expected to be finalised are the new trainer connecting the exit for Prizren with the exit for Pristina, the Gjakova-Dolc road, the exit for Pristina, as well as the western tribuna of the city stadium.

As for doing business, Djind is happy that more than half of exports to Kosovo are produced in Gjakova. He said they have offered all conditions to businesses as well as helped with the body by establishing two structures, the first is the Public Private Council and the second is the Business Club.

At the Public Private Council, businesses recognise each other's and municipality plans, while the Business Club intends to prepare in order to make the most of foreign investments.

“This Council ( Public Private has had a tremendous effect that businesses have begun to communicate among themselves, to understand each other's projects and to have co-operation that has produced hundreds of millions of euros in exchange. It means don't forget in a municipality like Gjakova. There has been exchange between businesses with hundreds of millions of euros, which has not happened before. Now in Gjakova we've also established the Business Club, which includes big businesses, small businesses, small businesses. The municipality has taken over to do all the work to establish the club. We started a club and I handed it over to business. It means, the municipality has no ownership at the club, only that we thought it was too important to help businesses get to the club, because it has been a tremendous contribution to, we have very big foreign investments”, Djind said.

There are also projects in the field of tourism with Gjakova, which, according to Jean, is increasingly becoming an attractive place to visit even by foreigners. The Great Chearse, the Cave of Kusar, the White Drini Canyon, the Terezius Bridge, the Tabak Bridge, the Cremen Suka, are just a few interesting points to visit this municipality. / KSP