Harmful Tax Practices – 2024 Peer Review Reports on the Exchange of Information on Tax Rulings

Albania

Albania has met all aspects of the terms of reference (OECD, 2021[1]) (ToR) for the calendar year 2024 (year in review), except for exchanging information on the tax rulings in accordance with the form and timelines under the transparency framework (ToR II.B). Albania receives one recommendation on this point for the year in review.

In the prior year report, as well as in 2021-2022 peer reviews, Albania had received the same recommendation. This recommendation has not been addressed and remain in place.

Albania can legally issue one type of rulings within the scope of the transparency framework.

In practice, Albania issued no rulings within the scope of the transparency framework.

As no exchanges took place, no peer input was received in respect of the exchanges of information on rulings received from Albania.

Information gathering process (ToR I.A)

1. Albania can legally issue the following type of ruling within the scope of the transparency framework: cross-border unilateral APAs and any other cross-border unilateral tax rulings (such as an advance tax ruling) covering transfer pricing or the application of transfer pricing principles.

2. For Albania, past rulings are any tax rulings within scope that are issued either: (i) on or after 1 January 2014 but before 1 April 2016; or (ii) on or after 1 January 2010 but before 1 January 2014, provided they were still in effect as of 1 January 2014. Future rulings are any tax rulings within scope that are issued on or after 1 April 2016.

3. In the prior year’s peer review report, it was determined that Albania’s undertakings to identify past and future rulings and all potential exchange jurisdictions were sufficient to meet the minimum standard. In addition, it was determined that Albania’s review and supervision mechanism was sufficient to meet the minimum standard. Albania’s implementation remains unchanged, and therefore continues to meet the minimum standard.

4. Albania has met all of the ToR for the information gathering process that can be met in the absence of rulings being issued in practice and no recommendations are made.

Exchange of information (ToR II.B)

5. Albania has the necessary domestic legal basis to exchange information spontaneously. Albania notes that there are no legal or practical impediments that prevent the spontaneous exchange of information on rulings as contemplated in the Action 5 minimum standard.

6. Albania has international agreements permitting spontaneous exchange of information, including: (i) the Multilateral Convention on Mutual Administrative Assistance in Tax Matters: Amended by the 2010 Protocol (OECD/Council of Europe, 2011[2]) (“the Convention”) and (ii) bilateral agreements in force with 46 jurisdictions.1

Completion and exchange of templates (ToR II.B.3, II.B.4, II.B.5, II.B.6, II.B.7)

7. In the prior years’ peer review reports, it was determined that Albania did not yet have a process to complete the templates on all relevant rulings, to make them available to the Competent Authority for exchange of information, and to exchange them with relevant jurisdictions. Therefore, Albania was recommended to develop a process for the completion and exchange of information as soon as possible. During the year in review, Albania was still in the process of taking steps to address this recommendation.

8. During the year in review, no exchanges were required to take place and no data on the timeliness of exchanges is reported.

Conclusion on section B

9. Albania is recommended to continue to develop a process to complete the templates for all relevant rulings and to ensure that the exchanges of information on rulings occur in accordance with the form and timelines under the transparency framework going forward (ToR II.B).

Statistics (ToR IV.D)

10. As no rulings were issued, no statistics can be reported.

Matters related to intellectual property regimes (ToR I.A.1.3)

11. Albania does not offer an intellectual property regime for which transparency requirements under the Action 5 Report (OECD, 2015[3]) were imposed.

Summary of recommendations on implementation of the transparency framework

 

Aspect of implementation of the transparency framework that should be improved	Recommendation for improvement
Albania does not yet have a process to complete the templates on relevant rulings, to make them available to the Competent Authority for exchange of information, and to exchange them with relevant jurisdictions.	Albania is recommended to continue to develop a process to complete the templates for all relevant rulings and to ensure that the exchanges of information on rulings occur in accordance with the form and timelines under the transparency framework. This recommendation remains unchanged since the 2021, 2022 and 2023 peer review reports.

Jurisdiction’s response and recent developments

12. Albania notes that it has taken steps in 2025 to meet the requirements of the transparency framework. To address the recommendation in place, the Ministry of Finance, together with the General Directorate of Taxation (GDT), has prepared a manual which includes internal guidance on the exchange of information on rulings. The manual includes general provisions on scope and obligations, guidance on inbound and outbound exchanges, as well as instructions and best practices. In addition, the guidance includes procedures to ensure that the necessary information is collected in a timely manner and that the exchange templates are promptly provided to the GDT for exchange to relevant jurisdictions, in accordance with the template and timelines provided for under the transparency framework.

Note

← 1.  Participating jurisdictions to the Convention are available here: www.oecd.org/tax/exchange-of-tax-information/convention-on-mutual-administrative-assistance-in-tax-matters.htm. Albania also has bilateral agreements with Austria, Belgium, Bosnia and Herzegovina, Bulgaria, China (People’s Republic of), Croatia, Czechia, Egypt, Estonia, Finland, France, Germany, Greece, Hungary, Iceland, India, Ireland, Israel, Italy, Korea, Kosovo, Kuwait, Latvia, Luxembourg, Malaysia, Malta, Moldova, Montenegro, Netherlands, North Macedonia, Norway, Poland, Qatar, Romania, Russia, Saudi Arabia, Serbia, Singapore, Slovak Republic, Slovenia, Spain, Sweden, Switzerland, Türkiye, United Arab Emirates and United Kingdom.