Digital nomads in Albania are discontent due to a new law that taxes from 15 to 23% of their earnings.
A new law implemented by the Albanian government will tax remote workers 15% of their earnings if they make less than $149,732.
Those that make more than this amount, will be taxed 23% of their earnings.
The new measure has caused a stir among digital nomads in Albania.
According to new reports, hundreds of professionals are considering emigrating or quitting their activity altogether due to high expenses.
In a study conducted by Monitor.al, 96% of the respondents said that the new measure would have a negative impact on their activity.
The study received responses from 613 digital nomads in the country.
38% said they would raise their prices following these changes, and 25% said they would reduce their NET earnings. This means cutting costs and allocating fewer resources for themselves.
The third most common answer was emigrating from the country, with Kosovo and Estonia being their top destinations. 17% plan to quit altogether.
According to experts, there are three possible scenarios from the new developments.
Digital nomads will either raise their prices to afford taxes, declare more expenses, or quit their activities.
The consequences of the new measure will affect not only digital nomads but the whole country.
These include wage undercutting, job losses as roles migrate, and potential obstacles from outdated tax and labor laws.
The Forum emphasized the need for policymakers, employers, and workers to address these challenges proactively.
Employers should modernize their workforce management, expand recruitment pools, and embrace hybrid working.
