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Albania Fiscal Package 2027 sparks business backlash
The Albanian government is facing significant opposition from business organizations regarding the proposed 2027 Fiscal Package. Major entities, including the American Chamber of Commerce (AmCham), the Foreign Investors Council (FIAA), and Confindustria Albania, have warned that the proposed tax increases could discourage foreign investment, reduce competitiveness, and lead to job losses.
Key proposed changes include increasing the standard VAT rate from 20% to 21%, raising the dividend tax from 8% to 15%, and lowering the VAT registration threshold from 10 million to 5 million lekë. While the government has reportedly withdrawn a proposal to increase corporate income tax from 15% to 17% following the backlash, other measures remain under discussion.
To mitigate social impacts, the package includes a proposal to reduce VAT on 54 essential food products from 20% to 6%, a move estimated to cost the state budget approximately 150 million euro. Additionally, officials are planning a new tax system for the digital economy to capture revenue from influencers and online commerce, following data showing over 33 million euro in income from digital platforms in 2025.
Entities
Albania · American Chamber of Commerce in Albania · Confindustria Albania · Edi Rama · Erion Braçe · FIAA · Foreign Investors Council of Albania · General Directorate of Taxes · Sali Berisha · Western Balkans
Claims
What the coverage asserts, and how many sources carry each claim.
- [● 4 SOURCES] AmCham warns that the fiscal changes could discourage foreign investors. www.topalbaniaradio.com · businessmag.al · www.standard.al · fjala.al
- [● 3 SOURCES] The standard VAT rate is proposed to increase from 20% to 21%. businessmag.al · www.standard.al · fjala.al
- [● 2 SOURCES] The government withdrew a proposal to increase corporate income tax from 15% to 17%. www.standard.al
- [● 2 SOURCES] The government plans to implement a new tax system for the digital economy, including influencers. ntv.al
- [○ 1 SOURCE] In 2025, tax verifications identified over 33 million euro in income from digital platforms. ntv.al
- [○ 1 SOURCE] A new 30% tax rate is proposed for monthly salaries exceeding 700,000 lekë.
- [● 2 SOURCES] The VAT registration threshold is proposed to drop from 10 million to 5 million lekë. www.standard.al · fjala.al
- [● 4 SOURCES] The 2027 Fiscal Package proposes increasing the dividend tax from 8% to 15%. businessmag.al · www.standard.al · fjala.al
- [○ 1 SOURCE] The proposal to reduce VAT on 54 food products from 20% to 6% is expected to cost the state budget 150 million euro. faxweb.al