The legal framework for the operation of the PRO, regulating the general tax issues and the tax administration procedure are presented in two laws – the Law on the Public Revenue Office and the Law on Tax Procedure.
The Law on the Public Revenue Office was adopted in September 2005, and was changed and amended in March 2014. This Law regulates the scope, the manner of funding, the organization and the management of the PRO and it also regulates the obligations, authorizations, responsibilities and rights of employees when collecting, recording, processing and protecting data needed for the operation of the PRO.
The amendments to the Law adopted in 2014, brought forth the following changes: all positions were divided into classes, thus determining different level positions, titles of tax officers, as well as needed qualifications and competencies. The amendments introduced “internal vacancy” as a way of promoting employees and they further regulated the manner of evaluating employees, awarding awards and recognitions for their work, their disciplinary liability and career tracking.
The Law on Tax Procedure, adopted in January 2006 and the subsequent changes and amendments, in a unique way regulate the following: general tax issues, procedures for tax assessment, control and collection of public revenues. This Law further regulates the rights and obligations of taxpayers, the procedure for appeals, the misdemeanor procedure and it provides misdemeanor provisions.
The legal framework explained above, provides possibilities for strengthening administrative capacities for implementing the legislation and fighting tax evasion.