In May 2021, the Law on Amendments to the Law on Foreign Exchange Operations was passed, according to which new controls on the transfer and obligations to declare cash, which is brought in or taken out of the EU, are introduced. The law came into force on June 3, 2021.
The amendments introduced EU regulations into the Act, which define the obligation to declare cash of more than 10,000 euros or more. Natural persons carrying cash of 10,000 euros or more are required to report this amount to the competent authorities of the Member State through which they enter or leave the Union and to make it available to them for control. If cash of 10,000 euros or more is brought into the Union or taken out of the Union in postal parcels, couriers, unaccompanied baggage, or as cargo in containers, the competent authorities of the Member State through which the cash is brought in or taken out of the Union may require the cash recipient or their representative to apply terms of disclosure within 30 days.
Both types of applications are submitted in writing form that can be submitted to an authorized cash flow control person or sent electronically.
In addition to cash, the Act also covers cards with prepaid funds, coins with a gold content of at least 90 percent, gold bars, etc.
It also prescribes the authority and obligations of Croatian National Bank and the Office for the Prevention of Money Laundering and in particular the Customs Administration and the Financial Inspectorate, including the circumstances in which the Customs Administration will temporarily/permanently retain cash, etc.
Breaches prescribed by the Foreign Exchange Act are considered financial misdemeanors, which impose high fines on offenders.
