Capital
Sarajevo
Currency
Convertible mark
Languages
Bosnian, Croatian, Serbian
Population size
3.3M
Average Monthly Salary
€500
EU
Not a Member
Region
Southeast-Europe
Gift Giving Norms
Small, symbolic gestures preferred
Major Corporate Gift Days
New Year, Religious holidays
Customs Complexity
Medium
VAT - Standard Rate
17%
Duty Free Threshold
€45
Ave Duty Rate
5%
1. Employee Merch vs. Gifts
Bosnia and Herzegovina does not have an overarching single framework like the Netherlands’ WKR or France’s Urssaf. Instead, general tax principles apply: if merchandise is seen as employee compensation (benefit in kind), it may be taxed. If it’s deemed work-related or of minimal value, it may remain tax-exempt.
1.1 Merchandise for Employees
Merchandise Provided to Employees
Work-Related (Generally Non-Taxable)
Essential Tools & Uniforms
Items required for day-to-day duties (e.g., branded uniforms or protective gear) usually count as non-taxable, provided they are consistently used for work.
Branded Apparel & Accessories
If shirts, jackets, or accessories show a clear company logo and are intended for workplace identity or function, local tax authorities typically do not treat them as personal perks.
Potentially Taxable Benefits
High-Value or Personal Items
Costly or exclusively personal-use items (e.g., electronics not needed for work, luxury clothing) may be considered additional income, subject to wage tax or social contributions.
Frequent Gifts
Repeated distribution of “gifts” could be perceived as disguised salary. Consult local advisors if you plan multiple merch drop campaigns per year.
1.2 Gifts for Non-Employees (Clients, Partners, Event Attendees)
Tax & Deductibility
Companies can often deduct gift expenses if they serve a legitimate business purpose (e.g., client relationship building). However, high-value gifts may face extra scrutiny.
Compliance
Anti-corruption laws exist in BiH, though enforcement varies. Be mindful if dealing with public-sector entities; keep gift values moderate and well-documented.
1.3 Marketing Merch
Promotional Merchandise
Branded swag (pens, T-shirts, lanyards) distributed at events or trade fairs is typically recognized as a marketing expense. Retain invoices and distribution records to justify these costs in case of audits.
2. Shipping, Customs & Duties
Bosnia and Herzegovina is not part of the EU Customs Union. Though some free trade agreements (FTAs) exist (CEFTA, for example), you should confirm eligibility for preferential duty rates.
2.1 Shipping
2.2 Importing
Standard Tariffs
Goods from non-EU sources follow BiH’s standard customs duty schedule. Confirm if any bilateral FTAs or special agreements could apply.
2.3 DDP vs. DAP
DDP (Delivered Duty Paid)
The sender pays import fees, simplifying the process for the recipient but increasing upfront cost.
DAP (Delivered At Place)
The recipient pays duties, taxes, and fees upon arrival—potential delays if they’re unprepared for extra charges.
2.4 With Monday Merch
From our Rotterdam warehouse, shipping to BiH involves customs clearance. We’ll help prepare the right documents—like the EUR.1 form if your goods qualify—thus potentially lowering or eliminating customs duties.
