Tuesday, October 11 2016 16:43
Naira Badalian

Karen Karapetyan expects radical changes in work of Armenian tax bodies

Karen Karapetyan expects radical changes in work of Armenian tax  bodies

ArmInfo. Armenia's Prime  Minister Karen Karapetyan introduced today newly appointed State  Revenue Committee Chairman Vardan Harutyunyan to SRC Staff. Thankful  for the work done by former SRC Chairman Hovhannes Hovsepyan, the  Premier said he had gone a long way toward streamlining the  Committee's activities, the press-service of the Armenian government  informs. 

Congratulating Vardan Harutyunyan on appointment, the Prime Minister  noted that he expected the newly appointed SRC head to make efficient  efforts in his new position. Underlining the importance of the SRC as  a frontline institution, Karen Karapetyan briefed the staff on the  Committee's operational targets and the rules of the game. In this  context, the Prime Minister stressed the need to create a  business-friendly environment for law-abiding citizens and economic   entities. 

"We often take measures against blacklisted entities without  anticipating the impact they may have on those businesses working in  the white field. The criteria should be as follows: we will refrain  from such measures which can result in great benefits, but cause  problems for law- abiding entities," Karen Karapetyan said.

The Prime Minister considered it necessary to maximally reduce the  inventory and the deadlines for delivery of documentation and  references. The Premier specifically pointed out that he meant not  only those references provided by the SRC, but also the ones due from  other agencies. "Game rules should be possibly clear so that red tape  and the number of references is minimized. No extra requirements  should be set forth, if a country certificate is acceptable to us,"  the Head of Government emphasized.  With reference to control prices,  the Prime Minister highlighted the need for a mechanism to review  their application on import of goods. The transaction price method is  to be applied in assessing the customs value of goods based on the  exporter's invoice as approved by the customs authorities of the  country of origin.

In the Premier's words, while a lot of improvements have already been  made, there is still much to do in this area. "For example, make out  a white list of non-risky countries and accept their invoice price. I  mean the countries where there is a VAT refund. We need to study this  area in order to streamline it and curb the red tape by minimizing  the field for application of reference prices.  Businesses need to  understand the rules of the game. I think we will succeed here."

Karen Karapetyan stressed that was looking forward to a radical  redesign of SRC officer's image. "You must do everything so that  law-abiding businesses and legal persons feel comfortable and, on the  contrary, those entities working in the black field should beware of  your intervention," he said.

As the Prime Minister said, there should be a level playing field for  everyone, and the tax authority must operate with maximum  transparency to achieve this.

During the meeting, reference was made to the need for improving and  expanding the scope of electronic transactions in SRC activities,  reducing corruption risks arising in the course of administration,  giving feedback and other issues of topical interest. In conclusion,  the Premier said he looked forward to getting proposals and  recommendations on structural changes in the SRC.