Economy 13:05 14/06/2018 Armenia

Economist praises the planned changes into the tax legislation

New amendments and supplements are planned to be introduced into the Armenian Tax Code that has entered into effect since January2018. The relevant decision was adopted at the cabinet session on June 11. 

Economist Atom Margaryan assessed positively the envisaged amendments in an interview with Panorama.am, saying those long-anticipated changes would have positive impact both on budget revenues and the economic developments of the country. 

“In general, the acting Tax Code is problematic both in terms of its content and nature. Actually, it was aimed at solving short-term issues seeking to increase budget returns, yet was not balanced over the medium and long term perspectives,” Atom Margaryan stressed. 

As the economist explained, the changes are aimed at increasing the budget revenues and curbing the black economy. “To me, provisions on economic amnesty and fines for non-registered employees are prudent decisions. Today, people work in the black economy as they enjoyed privileged conditions with a chance to avoid paying taxes, while the small businesses had no opportunities to enjoy those benefits and were forced to work in the shadow economy. Today, the government say to the major businesses there would be no privileges, at the same time conveys messages to the small and medium size businesses to leave the black economy since everyone is equal before the law.”

To Margaryan’s prediction, the amendments will bring benefits to many. He referred to the fact that in the service sector   certain percentage of employees are not registered. The unemployment rate in Armenia is officially at 17-18%, yet as he believed, 20-25% of the number is actually employed. 

Atom Margaryan stressed that increasing the levels of penalties for filing a false tax return will not solve the matter. Instead, he suggests applying moderate tax rates to encourage people to declare their incomes. 

“Overall, I asses positively the changes. In the context of separating the business from politics, we see the positive impact on the business itself as it is ‘liberated’.  There were people who wished to expand their business through affiliation with politics and officials, yet the situation is different today. The opportunities for competition have grown and the entrepreneurs are free to launch business projects through merely assessing economic and market risks,” Margaryan concluded.



Source Panorama.am
Share |
Տեքստում սխալ կամ վրիպակ նկատելու դեպքում, ուղարկեք խմբագրին հաղորդագրություն` նշելով տվյալ սխալը, այնուհետև սեղմելով Ctrl-Enter:

Newsfeed

19:00
Rains predicted in Armenia tomorrow
In the daytime of August 15, at night and in the afternoon of 18-19 rain with thunderstorm is predicted, in separate places hail is predicted in...
18:27
Police: 15 road traffic accidents registered, 3 killed, 20 injured over the past day in Armenia
According to the operations reports of Police of the Republic of Armenia, 54 cases of crime were detected by officers of various police...
17:51
Artsakh president convoked a meeting of the Security Council
Artsakh Republic Bako Sahakyan convoked today a meeting of the Security Council to discuss issues related to the current situation along the...
17:13
Armenia sees rise in production of meat and meat products
According to the data released by Armenia's National Statistical Service (NSS), the meat production volumes rose by 1.2% during the first...
15:58
PM: All those who have perpetrated against state, people will be brought to justice
There is no alternative to establishing the rule of law in Armenia, and all those who have committed a crime against the state and people will...
14:41
MFA: Chinese school to be inaugurated in Armenia’s capital in next few days
A new Chinese school will officially open in the Armenian capital in the coming days, Anna Naghdalyan, an acting spokesperson of the Foreign...
13:55
No watermelon of Azerbaijani origin imported into Armenia – food safety service
Armenia’s State Service for Food Safety refutes media reports alleging Azerbaijani watermelon has been imported into Armenia, and states...
13:18
Ex-president Kocharyan’s news conference fails amid protests in Armenian capital
Tuesday’s press conference of former President Robert Kocharyan, charged over the March 1-2, 2008 events in the Armenian capital, failed...
12:35
Armenian MFA: Azeri repositioning attempts at Nakhichevan border ‘unacceptable’
Azerbaijan’s repositioning attempts at the Nakhichevan section of the Armenian-Azerbaijani border are ‘unacceptable for Armenia and...
11:56
Firefighter dies battling California’s largest ever wildfire
A firefighter was killed Monday while battling California's Mendocino Complex Fire, marking the first death in the largest wildfire in...
11:32
Passenger dies in Yerevan road accident
A person died in a tragic road accident in Yerevan, Armenia’s capital, on Tuesday, the emergencies ministry told Panorama.am. One fire...
10:47
SIS condemns appellate court ruling to release ex-president as ‘illegal’
The Special Investigative Service (SIS) of Armenian condemns the ruling of the Yerevan appellate court to release Armenia’s former...
19:31
No precipitation predicted in Armenia in the coming days
No precipitation is predicted in the territory of Armenia in the daytime of August 15-16.  On August 14-15, at night and in the afternoon...
18:35
Mher Margaryan appointed as Armenia’s Representative at the UN
President Armen Sarkissian has signed a decree, appointing Mher Margaryan as Permanent Representative of the Republic of Armenia at the United...
17:54
Tobacco production on the rise in Armenia
In January-June 2018, the tobacco production volumes increased by 12.8% in Armenia compared to the same period of 2017, according to the data...
16:53
Yerevan Court of Appeals approves petition to change ex-president’s pre-trial detention measure
The Yerevan Court of Appeals approved on Monday the petition of the lawyers who appealed to commute the arrest ruling against Armenia’s...
16:07
Chess: Armenia’s Elina Danielian best among women at Kavala 2018
Leading Armenian chess player Elina Danielian has scored 6,5 points out of 9 to share the 5-11 positions at the 27th Open International...
15:33
Death toll from Indonesia's Lombok earthquake rises to 436
Indonesia's National Disaster Mitigation Agency (BNPB) said on Monday that the death toll from a devastating earthquake on the tourist...
15:20
Emergencies ministry reports 15 poisoning cases in Armenia over past week
The National Crisis Management Center of the Armenian emergencies ministry registered a total of 607 cases over the past week, 346 of which are...
14:40
Merkel, Putin to meet outside Berlin on Aug. 18 – German spokesman
German Chancellor Angela Merkel will host Russian President Vladimir Putin outside Berlin on Saturday for discussions about the war in Syria,...
14:14
Armenian parliament set to elect Court of Cassation head on 10 Sept.
The Armenian National Assembly will hold debates on the issue of electing new chairman of the Armenian Court of Cassation in early September,...
13:13
Armenia responds to Azerbaijani provocations at Nakhichevan border – spox
The Armenian armed forces on Sunday opened fire in response to the Azerbaijani provocations at the Nakhichevan section of the...
12:46
Hundreds injured as festival platform collapses into sea in Vigo, northwest Spain
More than 250 people have been injured, five of them seriously, after part of a wooden promenade collapsed at a music festival in Spain, The...
12:35
Entrepreneurs stage protest against ‘tax terror’ in Armenian town
A group of small and medium-sized entrepreneurs has taken to the streets in Armenia’s Artashat town since Monday morning, to protest what...
11:12
Football: Armenia’s U19 team loses to Belarus in second friendly
The Armenian U19 football team suffered a 0-2 defeat at the hands of Belarus in the second international friendly match held in Minsk, the...
10:54
Trump praises Kanye West for being 'willing to tell the truth'
US President Donald Trump on Friday took to Twitter to praise Kanye West following the rapper’s recent “Jimmy Kimmel Live!”...
19:00
Ex-PM Hovik Abrahamya’s brother to remain in custody for two months
Armenia’s former Prime Minister Hovik Abrahamyan’s brother, Henrik Abrahamyan has been remanded into custody for two months...
18:39
Tomorrow marks International Youth Day
Tomorrow, 12 August, will see the commemoration of International Youth Day, which was first designated by the UN General Assembly in 1999, and...
17:14
More than 400 injured in violent protests in Romania
Protests in Romania have resulted in 33 detained in Bucharest, eight criminal cases opened, a spokesman of Romanian Gendarmerie said on...
16:57
Embassy denies media reports on two Armenians’ murder in Georgia
The Armenian Embassy in Georgia dismisses the media reports alleging two Armenian have been killed in Satkha village of Georgia's...

Follow us and get updates!

Most popular articles

{"core.blocks.header.spell_message1":"Selected mistake: ","core.blocks.header.spell_message2":"Send a message about the mistake?"}