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14.5. Interest and Penalties

Delay in payment of tax attracts interest at the rate of 120% of the inter-banking loan interest rate, published by Bank of Albania.

Failure to file tax returns within the due dates attracts penalty up to ALL 10,000.

Inaccurate tax filings and late tax payment attracts a penalty of 0.06% of the amount of the unpaid tax liability and contribution for each day of delay, subject to a maximum of 21.9%.

A penalty of 100% of the unpaid tax liability is levied in case of any unreported tax liability resulting from tax evasion.

Effective 1 January 2019, incorrect declaration of tax liability attracts a penalty equal to 20% of the reduced amount.