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PARLIAMENT PASSES BILL AMENDING PROFIT TAX LAW: RATES FOR LARGE EXPORTERS TO BE CUT
ECONOMY | 03.03.15 | 13:53
The Armenian National Assembly dominated by the ruling Republican
Party of Armenia on Tuesday voted 68 to 11, with 23 abstentions,
to pass a bill that dramatically cuts the corporate profit tax rates
for large exporters.
Under the original bill submitted to the National Assembly
manufacturers exporting goods worth at least 50 billion drams (about
US$105 million) annually will not have to pay a 20-percent tax, but
will be allowed to pay only a 2-percent profit tax. The government
believes the measures that will concern only manufacturing businesses
and will not apply to the mining industry will stimulate export growth.
Critics of the amendments, meanwhile, pointed out the risks of more
government corruption and "monopolization" of the export sphere
considering that there are very companies, if any at all, in Armenia
that are involved in manufacturing and have a potential of exporting
goods worth at least 50 billion drams a year. Some opposition members
described the amendments as positive, but called for the application
of the new provisions to all Armenian exporters.
http://armenianow.com/economy/61089/armenia_economy_profit_tax_law
ECONOMY | 03.03.15 | 13:53
The Armenian National Assembly dominated by the ruling Republican
Party of Armenia on Tuesday voted 68 to 11, with 23 abstentions,
to pass a bill that dramatically cuts the corporate profit tax rates
for large exporters.
Under the original bill submitted to the National Assembly
manufacturers exporting goods worth at least 50 billion drams (about
US$105 million) annually will not have to pay a 20-percent tax, but
will be allowed to pay only a 2-percent profit tax. The government
believes the measures that will concern only manufacturing businesses
and will not apply to the mining industry will stimulate export growth.
Critics of the amendments, meanwhile, pointed out the risks of more
government corruption and "monopolization" of the export sphere
considering that there are very companies, if any at all, in Armenia
that are involved in manufacturing and have a potential of exporting
goods worth at least 50 billion drams a year. Some opposition members
described the amendments as positive, but called for the application
of the new provisions to all Armenian exporters.
http://armenianow.com/economy/61089/armenia_economy_profit_tax_law