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ROZA TSARUKYAN'S SACRAL PHRASE
Haik Aramyan
17:26 23/01/2013
Story from Lragir.am News:
http://www.lragir.am/index.php/eng/0/comments/view/28708
The Armenian government refers to the latest tax reform as
revolutionary. The latest pack of tax amendments was introduced to the
parliament almost secretly and it was adopted and signed hastily. The
entire process took several days, almost a revolutionary period.
The new tax pack is revolutionary indeed. Having returned to work
after the holiday season the Armenian SMEs found themselves on the
verge of bankruptcy. Dentists, travel agents, real estate and other
spheres have already protested against the amendments.
These people are the real revolutionary contingent unlike other layers
of the Armenian population. These people earn their living through
business. These layers are active, knowledgeable, demanding, unlike
those who live on remittances and watch soap operas.
Why did the parliamentary opposition which vowed to support SMEs fail
to oppose to the latest tax amendments? Earlier a draft law had been
voted down by Gagik Tsarukyan and other oligarch MPs according to
which transactions above 3,000,000 drams could not be made in cash.
They did so because thereby they were able to continue to avoid taxes
and preserve their monopolies. It touched their personal interests.
Certainly, they do not care for these amendments because thanks to
them the tax burden again falls from their shoulders to the shoulders
of SMEs. As to the non-oligarchic parliamentary opposition, they are
also under the influence and guidance of the oligarchs.
Serzh Sargsyan's government failed or was reluctant - it does not
matter - to establish tax equity which is one of the key principles of
liberal democratic states. The feudalist dictatorship continued, where
aristocracy and church did not pay taxes. The main income of this
state came from excise and customs fees, as well as poll tax charged
from the third class. Trade was regulated through capitulations,
resulting in the formation of monopolies.
This form of state is perfectly established in Armenia. The oligarchy
has replaced the aristocracy, the church is in its place. The whole
tax burden lies heavily on the third class. The oligarchy pays
indirect taxes which are also eventually paid by common people. Direct
taxes - income and profit tax - paid by the oligarchy are
insignificant.
This circumstance is related to the electoral process. The key factor
of rigging elections is the lack of equality before law. And the most
important factor is the tax policy.
Usually, in normal countries the governments try to boost the tax
revenues in the GDP. It is the main tool for strengthening the state
and promoting democracy. However, the Armenian authorities have
conducted the opposite policy. A group of big businesses have been
exempt from taxes. They pay something to cover budget gaps. They also
form the black budget which is spent on the neutralization of the
demands of the society on electoral and other rights.
Transition from feudalist to democratic states in Europe was marked by
political and social upheavals. A change of government is impossible
in a feudalist state but palace coups, such as in Armenia in 1998 and
2008. The only way of transition is a revolution, peaceful or based on
a compromise.
Ahead of the French revolution the royal court tried to reconstruct
the tax system to save the country. However, the aristocracy opposed
because it was reluctant to pay taxes and lose its privileges. The
efforts of the court were futile, and the revolution took place which
hanged both the royal court and the aristocracy.
History shows that tax avoidance and privileges enjoyed by the
selected ones cause the biggest social indignation and revolutions.
The new tax package of the Armenian government causes a real
revolutionary situation in Armenia. In fact, the Armenian aristocracy
refused an equitable tax system leaving the tax burden on SMEs, the
embryo of the Armenian bourgeoisie.
One can remember Roza Tsarukyan's almost sacral phrase when she was
asked why his son, the oligarch Gagik Tsarukyan avoids taxes. She said
should he pay taxes for others to gamble this money in casinos?
Aristocracy also opposed to the court - why should we pay taxes to
ensure the lavish life of the court?
From: A. Papazian
Haik Aramyan
17:26 23/01/2013
Story from Lragir.am News:
http://www.lragir.am/index.php/eng/0/comments/view/28708
The Armenian government refers to the latest tax reform as
revolutionary. The latest pack of tax amendments was introduced to the
parliament almost secretly and it was adopted and signed hastily. The
entire process took several days, almost a revolutionary period.
The new tax pack is revolutionary indeed. Having returned to work
after the holiday season the Armenian SMEs found themselves on the
verge of bankruptcy. Dentists, travel agents, real estate and other
spheres have already protested against the amendments.
These people are the real revolutionary contingent unlike other layers
of the Armenian population. These people earn their living through
business. These layers are active, knowledgeable, demanding, unlike
those who live on remittances and watch soap operas.
Why did the parliamentary opposition which vowed to support SMEs fail
to oppose to the latest tax amendments? Earlier a draft law had been
voted down by Gagik Tsarukyan and other oligarch MPs according to
which transactions above 3,000,000 drams could not be made in cash.
They did so because thereby they were able to continue to avoid taxes
and preserve their monopolies. It touched their personal interests.
Certainly, they do not care for these amendments because thanks to
them the tax burden again falls from their shoulders to the shoulders
of SMEs. As to the non-oligarchic parliamentary opposition, they are
also under the influence and guidance of the oligarchs.
Serzh Sargsyan's government failed or was reluctant - it does not
matter - to establish tax equity which is one of the key principles of
liberal democratic states. The feudalist dictatorship continued, where
aristocracy and church did not pay taxes. The main income of this
state came from excise and customs fees, as well as poll tax charged
from the third class. Trade was regulated through capitulations,
resulting in the formation of monopolies.
This form of state is perfectly established in Armenia. The oligarchy
has replaced the aristocracy, the church is in its place. The whole
tax burden lies heavily on the third class. The oligarchy pays
indirect taxes which are also eventually paid by common people. Direct
taxes - income and profit tax - paid by the oligarchy are
insignificant.
This circumstance is related to the electoral process. The key factor
of rigging elections is the lack of equality before law. And the most
important factor is the tax policy.
Usually, in normal countries the governments try to boost the tax
revenues in the GDP. It is the main tool for strengthening the state
and promoting democracy. However, the Armenian authorities have
conducted the opposite policy. A group of big businesses have been
exempt from taxes. They pay something to cover budget gaps. They also
form the black budget which is spent on the neutralization of the
demands of the society on electoral and other rights.
Transition from feudalist to democratic states in Europe was marked by
political and social upheavals. A change of government is impossible
in a feudalist state but palace coups, such as in Armenia in 1998 and
2008. The only way of transition is a revolution, peaceful or based on
a compromise.
Ahead of the French revolution the royal court tried to reconstruct
the tax system to save the country. However, the aristocracy opposed
because it was reluctant to pay taxes and lose its privileges. The
efforts of the court were futile, and the revolution took place which
hanged both the royal court and the aristocracy.
History shows that tax avoidance and privileges enjoyed by the
selected ones cause the biggest social indignation and revolutions.
The new tax package of the Armenian government causes a real
revolutionary situation in Armenia. In fact, the Armenian aristocracy
refused an equitable tax system leaving the tax burden on SMEs, the
embryo of the Armenian bourgeoisie.
One can remember Roza Tsarukyan's almost sacral phrase when she was
asked why his son, the oligarch Gagik Tsarukyan avoids taxes. She said
should he pay taxes for others to gamble this money in casinos?
Aristocracy also opposed to the court - why should we pay taxes to
ensure the lavish life of the court?
From: A. Papazian