7 main advantages of the Association:
Legal and documentary requirements:
In the moment, thanks to the rudimentary law and the attitude of banks, the Serbian Association has no match in the world market. Key is the legal definition of categories of persons who (do not) appear in the structure of the Association:
- Founders: passive category. At least three individuals or legal entities can register an Association. They are not considered as beneficiaries by the banks and the state registry.
- Legal representative: is considered as the beneficiary of the structure by the banks and the state registry and must be a citizen of Serbia or a foreign citizen with a residence permit in Serbia.
- Members: active category.
The most important category of persons in the structure. According to the law they are the legal and actual identity of the association. Members are not disclosed on the state registry website, are not disclosed in the register of beneficiaries (a legal representative will be registered in this register instead) and are not disclosed in the banks, bearing in mind that banks will have information about the founders (who are not considered members, according to several articles of the law). The Association can acquire assets through membership fees, voluntary contributions, donations and gifts (in money or in assets), financial subsidies, inheritance, interest on deposits, rent, dividends and other funds allowed by law. In the case of donation, the association pays a tax of only 2.5% gift tax. This legal form is used for association of experts in various sectors of the economy, for registering football clubs in Serbia and, of course, our company is organized in this way. It is worth mentioning that the first private companies in Serbia, even during a socialist economy, were registered as associations, so our jurisdiction have a tradition of successfully using Associations that can fully articulate economic interests and ensure the safety of the beneficiaries. Keeping in mind main advantages of the association, it must be emphasized that it is impossible to find a competitor to this solution on other meridians. Either the beneficiaries lose control over the property (trust) or they are disclosed in the process of registration of the so-called related parties according to the OECD procedures. Even our own company is registered in this legal form and our experts have more than 20 years of experience, working with various associations, profiling and servicing those structures.