In accordance with the government decision, a new procedure aimed at easing the tax burden for entrepreneurs engaged in jewelry activities has been introduced in the country. According to it, a certain part of the value-added tax paid to the state budget will be refunded to business entities engaged in the production of jewelry products or their retail sale.
According to official information, starting from January 1, 2026, 80 percent of the VAT paid by entrepreneurs operating in this field will be compensated from the republican budget. This preferential system is temporary and will remain in effect until January 1, 2028.
Under the new procedure, entrepreneurs, after submitting their tax reports, will have the opportunity to apply for a VAT refund. However, this process is not unlimited — the application must be submitted no later than within 3 months after the report is provided.
Applications will be reviewed through a fully automated electronic system. This serves to speed up the process, reduce the human factor, and ensure transparency.
A number of important conditions have also been established for the VAT refund. In particular, the tax must be fully and timely paid. In addition, at least 80 percent of total revenue must be formed specifically from jewelry products. All invoices and sales receipts must fully reflect the relevant identification codes.
In addition, a specific procedure for calculating the tax base has been introduced for manufacturers of jewelry products. According to it, the tax base is determined based on the positive difference between the total price of the product and the value of the precious metals and stones contained in it.
According to experts, this decision creates additional opportunities for entrepreneurs operating in the jewelry sector, may contribute to increasing production volumes, and help reduce the shadow economy. At the same time, increased competition in the market is expected, which may also have a positive impact on product quality.
In conclusion, the new tax mechanism is assessed as an important financial relief for the jewelry industry and is significant in terms of stimulating entrepreneurial activity.
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