Attorney Dragana Djordjevic » Dragana Đorđević (46)

Professional liability insurance in Serbia

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Professional liability insurance provides insurance protection to the insured for claims for compensation of ordering parties of services that are the result of professional fault of the insured in performing the registered activity and for which the Insured is liable under the law.

Professional fault is a violation and / or derogation of the existing codes of practice, established standards or the established rules of attention, applicable to a particular profession for which insured shall be responsible in accordance with the applicable regulations. Continue reading Professional liability insurance in Serbia →

Tax aspect of liquidation of companies

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Tax aspect of liquidation of companies have their own specific characteristics in relation to the general corporate tax regime.

The most common tax questions which arise regarding the tax aspect of liquidation of companies are:

  • assessment of tax on corporate profit of companies in liquidation and
  • tax treatment of payments of the liquidation surplus.

Assessment of tax on profit of companies in liquidation

Generally according to the provisions of Article 34 of the Corporate Profit Tax Law, taxpayer’s profit in the process of liquidation shall be taxed in accordance with that law. Continue reading Tax aspect of liquidation of companies →

Status changes according to the Law on Business companies – concept and types

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Concept of a Status change:
A company in a status change – the transferring company reorganizes itself to the effect that it transfers assets and obligations to another company – the recipient company, while its members acquire shares, i.e. stocks in that company.

The essence of the status change is manifested in the following two important elements:

  • transfer of assets and obligations – without the transfer of assets and obligations from one company to another status change does not exist. This is achieved by universal or singular succession.
  • proportional conversion of stocks and shares – All members of the transferring company acquire shares, i.e. stocks in the recipient company pro rata to their shares, i.e. stocks in the transferring company, unless:
    – each member of the transferring company agrees that the status change establishes a different ratio for such conversion of shares, i.e. stocks, or
    – a member of the transferring company who dissented from the decision on status change exercises his right to payment instead of the acquisition of shares, i.e. stocks in the recipient company, whereas the buy-back price of his stocks is determined by the decision on status change Continue reading Status changes according to the Law on Business companies – concept and types →