5.3.8 Other areas of culture specific legislation
The new Law on Endowments and Foundations was adopted on the 23 November 2010. Before this Law, the status of the endowments and foundations in the Republic of Serbia was regulated by the Law on Endowments, Foundations and Funds from 1989 (SG RS, 59/89), which was a product of a political and legal context far different than in 2010. The new Law has a goal of making a legal framework which will be motivational for the development of the culture of endowments and foundations, and their transparent management and administration. Endowments and foundations are non-profit nongovernment organisations, which are founded on a voluntary basis and they are independent in the setting of their goals.
A foundation is defined as a legal entity to with a sum of at least 30 000 EUR in order to achieve a general public goal, good deed or private interest which is not prohibited by law or the Constitution of Serbia. A foundation also includes legal entities without the underlying asset also established in order to achieve the goal of the general interest of the society.
The assets acquired by endowments and foundations do not pay taxes, but they are obliged to make their annual reports available to the public by publishing them (print or online form), and are obliged to submit annual financial reports to the Serbian Business Registers Agency. The assets of endowments and foundations can only be used to achieve their goals and can't be shared with founders, members of management, employees or related persons.