May the 8th, 2021 - Croatia is very well known for its various fees and infamous red tape, but with the recent aim of relieving Croatian business owners of these burdensome restraints, more and more fee abolitions are being reported. Another fee abolition is set to relieve Croatian business owners of as much as 600,000 kuna in total.
As Poslovni Dnevnik/Marija Brnic writes, the Croatian Government submitted a proposal to abolish the obligation to pay administrative fees for intellectual property rights back in an urgent parliamentary procedure and within the context of the country's entry into the European exchange rate mechanism. The move was also made to come into line with the requirements of the Action Plan for the Reduction of Parafiscal Fees from back in May 2020.
According to the estimate presented to the Croatian Government by the Minister of Science and Education, Radovan Fuchs, this would result in a relief for Croatian business owners worth 600,000 kuna annually. While the fees for individual Croatian business owners of course vary, it was concluded that the fee represents an administrative burden to all, regardless of their respective company fees, and that its abolition will achieve a significant simplification of business conditions across Croatia which is something that has been and continues to be very desperately needed.
In addition to the abolition of administrative fees for intellectual property, Croatian business owners also have to pay compensation for costs in the field of intellectual property protection, which, despite this very welcome move, they will have to continue to pay. The explanation of the move also states that the proposed law doesn't substantially change the valid legal regulation regarding fees in the field of intellectual property rights, but is merely a formal and technical change of those regulations.
Therefore, while being a step in the right direction, this measure doesn't have a significant effect on the Croatian state budget either, and the visible effect in the government is that by abolishing this fee, it will achieve the increased interest of micro and small Croatian business owners to use the system of protection of industrial property rights when conducting business.
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