SUSPENSIVE EFFECT OF THE APPEAL IN SERBIAN TAX ADMINISTRATIVE PROCEDURE

Subject of this article is the analysis of the appeal in tax administrative process of the Republic of Serbia, with special survey of its effectiveness. We shall analyze the appeal procedure in regards to tax administrative acts with accentuation on action for suspense of enforcement by which, in a special proceeding before second instance or Administrative court, a suspension of enforcement can be achieved. Scope of this article shall also be on rare, but landmark, examples of the case law regarding matter at hand.

We argue that, in Serbia as a developing country, as an exception, non-suspensive effect of appeal rule should be maintained in order to realize the goal of efficiency in tax collection and the protection of Treasury interests. However, we also argue that in exceptional circumstances, when property of tax payers is threatened, it is necessary to allow an effective remedy by the means of suspending the enforcement of tax administrative act.

We conclude that, as a result of non-application of suspension, appeal will be a non-effective remedy. De lege ferenda we point out the need for introducing a second instance before Administrative court and we propose formation of special tax departments in Administrative court.