§  Legislation

• Law on Financing Local Self-Government ("Official Gazette of the Republic of Montenegro", No. 042/03 dated 16.07.2003, 044/03 dated 28.07.2003, "Official Gazette of Montenegro, No. 005/08 dated 23.01.2008, 051/08 dated 22.08.2008, 074/10 dated 17.12.2010, 001/15 dated 05.01.2015, 078/15 dated 31.12.2015, 003/16 dated 15.01.2016, 030/17 dated 09.05.2017, 092/17 dated 30.12.2017)
• Decisions of the municipalities

The possibility for introduction of consumption tax is regulated under the law on financing local self-government.

The law envisages that the rate of the surtax on personal income tax may amount to 13%, except for the Capital and Historical Royal Capital for which the rate may amount to 15%.

The tax base for surtax on personal income tax is the personal income tax, from any of the sources (personal income, private sector activities, property and property rights and capital).

The amount of surtax on personal income tax is determined by the municipality through adoption of its decision.