Business
2027 fiscal package: dividends taxed at 15%, standard VAT up 1 point, hotels from 6% to 10%
Rama announced a rise in the dividend tax from 8% to 15%, a new 30% bracket for salaries above 700,000 lek and a lower VAT threshold for businesses with turnover above 5 million lek. Corporate profit tax stays at 15%.
By ANN Newsroom · Newsroom
October 28, 2026, 13:56 · Updated 18:43 · 2 min read
In brief
- The dividend tax rises from 8% to 15%, while the tax on business profits stays unchanged.
- Standard VAT goes up by one percentage point and hotel VAT from 6% to 10%, with agritourism exempt.
- The government plans a super tax on coastal villas, empty apartments and luxury cars.
Alongside the VAT cut on basic foods, the 2027 fiscal package presented by Prime Minister Edi Rama contains a series of tax increases, which the government describes as measures to formalize the economy and put a heavier burden on those who earn more.
Dividends and high salaries
The dividend tax will rise from 8% to 15%, while the corporate profit tax rate remains 15%. “We are not raising the tax rate on business profits,” Rama said. For salaries, the upper tax threshold rises from 200,000 to 300,000 lek, a change the government says eases the burden on about 32,000 taxpayers. At the same time, a new 30% bracket is created for salaries above 700,000 lek, with the stated aim of closing a route for evasion through dividends.
VAT, hotels and small business
The standard VAT rate rises by one percentage point for goods outside the basic basket, to offset the cut on food. VAT for hotels goes from 6% to 10%, with agritourism exempt. The VAT registration threshold is lowered for businesses with annual turnover above 5 million lek, while Rama said the commitment to zero profit tax for small businesses until 2029 still stands.
A super tax on luxury property
The government announced a super property tax for people who buy apartments and keep them empty instead of renting them out, and for coastal villas, while water for swimming pools will be billed at a multiplied rate. Luxury cars will also face a super tax. The property measures will come in a separate law; no rates were made public. The Finance Ministry is also preparing a new tax system for the digital economy and will set up a specialized office for income control.
