Capital
Pristina
Currency
Euro*
Languages
Albanian, Serbian
Population size
1.8M
Average Monthly Salary
€450
EU
Not a Member
Region
Southeast-Europe
Gift Giving Norms
Small tokens valued; sensitivity to cultural differences
Major Corporate Gift Days
New Year, Independence Day
Customs Complexity
Medium
VAT - Standard Rate
18%
Duty Free Threshold
€45
Ave Duty Rate
5%
1. Employee Merch vs. Gifts
Kosovo’s legal framework for employee benefits and corporate taxation has evolved in recent years. The Ministry of Finance, Labour and Transfers (and its relevant agencies) is responsible for clarifying whether items provided to staff constitute taxable income or legitimate work necessities.
1.1 Merchandise for Employees
Work-Related (Generally Non-Taxable)
Uniforms & Essential Equipment
If branded apparel or gear is integral to daily tasks (e.g., uniforms, protective equipment), it is not typically treated as employee income.
Branded Accessories
Items like T-shirts, pens, or mugs emblazoned with a visible company logo—especially if uniformly distributed—may be considered part of workplace identity rather than personal perks.
Potentially Taxable Benefits
High-Value or Personal Goods
Electronics (e.g., smartphones, laptops) intended for personal use, or other luxury items, could be reclassified as part of the employee’s salary. In these cases, the employer must handle any extra taxes or social charges.
Frequent Gifting
Distributing multiple gifts throughout the year may raise concerns over disguised wages. Seek local tax advice if you plan numerous merchandise drops annually.
1.2 Gifts for Non-Employees (Clients, Partners, Event Attendees)
Tax & Deductibility
Gifts used for business promotion are commonly deductible, provided they serve a clear commercial or relationship-building objective. Excessively generous or frequent gifts without demonstrable business rationale might draw scrutiny from local tax authorities.
Compliance & Anti-Corruption
Kosovo has introduced measures to combat corruption and promote transparency. Keep thorough records, especially if dealing with public officials or regulated sectors where gifts could be misinterpreted.
1.3 Marketing Merch
Items (e.g., branded T-shirts, lanyards, reusable drinkware) handed out at trade fairs or events normally count as marketing expenses, assuming you retain proof of their promotional purpose.
2. Shipping, Customs & Duties
Kosovo is not an EU member, but it has taken steps to integrate into European economic structures through various agreements. However, customs controls remain in place for goods entering Kosovo.
2.1 Shipping
2.2 Importing
Import Duties & VAT
Goods from non-EU jurisdictions may incur customs duties plus local VAT (commonly 18%) on (value + duties + shipping). The threshold for duty-free imports can be relatively low, so confirm current limits.
2.3 DDP vs. DAP
Delivered Duty Paid (DDP)
The sender covers all import fees, creating a seamless handover for recipients in Kosovo.
Delivered At Place (DAP)
The recipient pays duties/VAT upon arrival, risking delays or unexpected costs if not warned in advance.
2.4 With Monday Merch
We ship from Rotterdam (the Netherlands). We can provide the necessary documentation—such as a EUR.1 certificate if relevant—to help you secure preferential tariffs (if applicable) and remain tax compliant.
