ArmInfo. In 2020, business entities operating in the field of public catering expect important changes. This was reported by the press service of the State Revenue Committee (SRC).
According to the source, resident commercial organizations and individual entrepreneurs, if they satisfy all the conditions established by the RA Tax Code for recognition by VAT payers, in order to act in this system, they must submit a statement on recognition of VAT by the payer in accordance with the format approved by the order of the chairman of SRC N191-Ќ dated June 27, 2017.
Turnover tax in the field of public catering will be calculated at a rate of 6%, with the use of the corresponding deductions provided for by law. In relation to income received from other types of activities, value added tax will be calculated in accordance with the type of income in accordance with the procedure established by Article 258 I of the Tax Code of the Republic of Armenia.
If organizations and individual entrepreneurs do not satisfy the conditions established by the RA Tax Code in order to be considered payers of value-added tax, but prefer to operate in the value-added tax system, then they must submit to the tax authority a statement of recognition of it as value-added taxpayer to carry out activities in the field of public catering in the form approved by order of the chairman of the SRC N626-N of September 30, 2019. In the application, it is necessary to indicate which particular condition / conditions they do not correspond to in order to transfer to the number of VAT payers.
In the case of this group of taxpayers, value-added tax will also be calculated at a rate of 6% (using appropriate deductions in accordance with the law). And the sales tax in case of other activities or the disposal of other assets will be calculated at a rate of 20%. More detailed information can be found by following link: https://www.youtube.com/watch?v=gqWREgF03w8&feature=youtu.be.
