Is there VAT on a new-build apartment in Albania?
No VAT is charged on the sale of a new apartment to a private buyer in Albania as of October 2026: the supply of buildings is a VAT-exempt supply, and the option to charge 20% VAT on a building sale cannot be used when the buyer is an individual buying a home. VAT on the first sale of new homes was proposed in the 2022–2026 revenue strategy but not enacted in the sources found.
Data compiled by Fedir AlpatovUpdated
The rule
| Transaction | VAT | Source |
|---|---|---|
| Sale of a new apartment by a developer to an individual | Exempt | Tax administration notice |
| Resale of an apartment by a private owner | Not a VAT supply | — |
| Standard VAT rate (for comparison) | 20% | PwC tax summaries |
| Accommodation services (short stays by a VAT-registered business) | 6% | PwC tax summaries |
Sources · 2
- Confidence: MEDIUMPeriod: 2026 (status per sources)verified 2026-09-09tatime.gov.al — Njoftim mbi ndryshimet lidhur me zbatimin e TVSH-së për shitjen e ndërtesave
What it means for the price
The developer cannot recover the VAT it paid on materials and services when the sale is exempt, so that cost sits inside the price per m². A price list is therefore comparable with resale prices as it is: there is no 20% to add.
Watch two things in a contract: a clause that adds VAT "if the law changes" before the deed is signed, and furniture or parking sold as a separate service, which may be invoiced with VAT.
Questions and answers
Sources
- tatime.gov.al — Njoftim mbi ndryshimet lidhur me zbatimin e TVSH-së për shitjen e ndërtesave (accessed 2026-09-09)
- PwC Tax Summaries Albania — Corporate other taxes, 2026-07-22 (accessed 2026-09-09)
What is missing
Gaps we know about: questions we have no reliable data for yet.
- The exemption is taken from a tax administration notice stored in the research base; tatime.gov.al was unreachable on 2026-10-19, so the 2026 text of Law 92/2014 on VAT was not re-read.