Thursday, February 6 2025 15:42
Aline Grigoryan

Human rights NGOs urging Armenian authorities to revert back to the  previous taxation system for legal services

Human rights NGOs urging Armenian authorities to revert back to the  previous taxation system for legal services

ArmInfo.The "Coalition to Stop Violence against Women" and "Domestic Violence Support Center " have urged the Armenian authorities to revert back to the previous taxation system for legal services.

As noted in the statement received by ArmInfo, it was also demanded  that favorable conditions be created for the work of individual  lawyers and law firms providing free and voluntary legal assistance.  Human rights NGOs have warned that the new tax regulations could  seriously threaten access to justice for the most vulnerable groups  of the population and exacerbate social injustice. The statement  mentions that, according to calculations by the Chamber of Advocates,  tax liabilities for organizations providing legal services, as well  as for individual entrepreneurs, have increased by 6-8 times. Instead  of the previously applied 5% turnover tax rate, a 20% VAT is now  applied, and the profit tax rates vary from 18 to 23%.  "This  significantly complicates the protection of violated rights of  citizens, especially vulnerable groups," the statement says.

It is further noted that human rights activities are closely linked  to citizens rights to a fair trial, access to justice, and effective  judicial protection. "Comparing high-turnover law firms to human  rights organizations is not consistent with human rights principles,"  the statement emphasizes.  Additionally, it is also noted that human  rights organizations with limited budgets already face increased  state fees and spend significant resources to provide necessary  services in both Yerevan and the regions of Armenia. "We believe that  it is unfair to equate the legal services provided by human rights  organizations with accounting or auditing services and to consider  them as entrepreneurial activities. The Tax Code of Armenia should  include exceptions for such cases. If this tax change is implemented,  the cost of legal services will rise significantly, leading to a  heavy burden on public defenders' offices and human rights  organizations. This could jeopardize the right to access justice for  the most vulnerable groups in society and worsen existing social  problems," the statement reads.  

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