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Read the latest news, useful tips, and practical information from the world of accounting, administration, and business growth.
2026-09-21 08:44:00
Tax-Deductible and Non-Deductible Business Expenses: What Can Be Charged to the Company Account and What Incurs Fines?
One of the most common questions every accountant faces is: "Can I run this invoice through the company?" Many entrepreneurs in the Federation of Bosnia and Herzegovina view business expenses as a way to reduce their corporate tax base, so they often charge personal expenses to the account of the company or sole proprietorship. However, tax regulations and the Law on Corporate Income Tax clearly define which expenses are considered tax-deductible and which fall under non-deductible expenses. Misjudging or carelessly justifying expenses leads to an increased tax liability when preparing the tax return, as well as high financial penalties during a tax inspection. Below, we bring you a guide through the most common dilemmas regarding business expenses and tips on how to keep your accounting fully secure and compliant with regulations.
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2026-09-21 08:32:00
Dividend Distribution in a LLC (d.o.o.) in FBiH: When, How, and with What Tax Obligations?
One of the main goals of every successful entrepreneur is making a profit. However, when a limited liability company (d.o.o.) achieves a positive financial result, a key question arises for the founders: How can the earned money be legally, safely, and without tax risks paid out to a private account? In practice, it often happens that company owners withdraw money or make transactions without a valid legal basis, which the tax inspection can treat as a disguised payout of profit or taxable income, along with default interest charges and high fines. That is precisely why the role of a professional accountant is crucial to ensure every step is carried out strictly in accordance with the law. Below, we present a detailed overview of the conditions, procedures, and tax treatment for the payout of profit in the Federation of Bosnia and Herzegovina.
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2026-09-08 13:01:00
Is there a revenue threshold after which you MUST switch from a craft to a d.o.o. (LLC)?
One of the most common questions and dilemmas faced by successful craft owners in the Federation of Bosnia and Herzegovina is: "My business is growing, my revenue is increasing – is there a legally prescribed revenue threshold after which I must close my craft and establish a d.o.o. (LLC)?" Below is a detailed analysis of why this misconception arises, which key thresholds you must track, and when is the right moment to switch to a d.o.o.
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2026-09-08 12:48:00
Classification of Sole Proprietors in FBiH: Freelance Professions, Craft Activities, and Contribution Base Amounts
One of the most important financial issues when establishing and operating an independent business in the Federation of Bosnia and Herzegovina is determining the exact category of sole proprietorship and the amount of monthly fixed contributions. According to the FBiH Law on Contributions and the annual Order of the Federal Ministry of Finance, owners of independent businesses do not pay contributions at the same rate, but are instead classified into different categories based on the type of work and professional qualifications. Below is a detailed guide to the legal classifications of independent business owners in FBiH, the method for determining monthly bases, and the role that a licensed accountant and a professional bookkeeping service play in proper calculation and tax optimization.
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2026-09-02 13:04:00
Bookkeeping and Accounting Services in FBiH: Rights and Responsibilities of a Sole Proprietorship Owner
Starting and operating an independent business activity or a sole proprietorship in the Federation of Bosnia and Herzegovina brings numerous operational advantages—from a simpler registration process to more flexible management of cash funds compared to limited liability companies (d.o.o.). However, conducting business as a sole proprietorship involves a specific legal and financial status, as the personal identity of the owner is legally inseparable from the business itself. Compliance with the FBiH Law on Crafts and Related Activities, the FBiH Law on Income Tax, fiscalization regulations, and the Decree on Cash Payments enforces strict business rules. Any lack of knowledge of legal norms, delays in submitting forms, or the absence of expert support provided by a professional bookkeeper and licensed accountant directly exposes the owner's personal assets to heavy fines and forced collection.
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