In retail, it often happens that customers decide not to take their change and leave it with the salespeople. This can be challenging for sellers, as it is important to comply with the Law on Fiscal Cash Registers . This law does not permit excess money in the fiscal cash register. To avoid legal issues, it is crucial to handle this money correctly. All monetary amounts entering and exiting the fiscal cash register must be well-documented. This includes change left by customers as a voluntary donation or tip. The law does not allow exceptions or tolerances for excess money in the fiscal cash register, meaning any excess may be considered a sign of non-compliance and could lead to penalties for the taxpayer.
One way to address excess money is to establish an agreement with a charity organization. The establishment can set up a donation box for the charity, and excess money that appears as a donation can be given to the organization. This is a legal way to direct the money to useful purposes. Another option is to treat the excess money as a tip, similar to what is practiced in hospitality. In this case, the salesperson can keep the money as it was intended as a thank you from the customer.
When customers leave money as change, the question arises whether VAT should be applied to these funds. According to the Law on VAT https://www.paragraf.rs/propisi/zakon-o-porezu-na-dodatu-vrednost.html, VAT is applicable if the excess money is considered an increase in the base for delivered goods. Determining the base can be difficult because it is impossible to precisely determine which transaction the excess originated from (whether it is subject to the general or special rate). VAT taxpayers do not have to account for VAT on retained funds, as they are not considered compensation for the supply of goods or services.
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