With the amendments envisaged in the Tax Code of the Republic of Armenia, it is proposed to revoke the privilege of deducting from the amount of profit tax the amount of additional salary and payments equal to it, calculated in terms of new jobs created within the scope of the business project by the resident profit taxpayers implementing a business project approved by the decision of the Government. It is also proposed to revoke the privileged regulation of amortization of fixed assets applied within the framework of that privilege.
According to the key rapporteur, the RA Deputy Minister of Finance Arman Poghosyan, during the 10 years of the definition of the above-mentioned privilege, it was practically not widely used among the business entities: Only 4 organizations used the privilege during the mentioned period.
The Deputy Chair of the Standing Committee on Economic Affairs Babken Tunyan positively assessed the legislative initiative presented by the executive body, taking into consideration the legal practice and the uninteresting nature of the system for the entities. “Considering that we have not received any proposal from the businesses, I call on you to endorse the draft,” Babken Tunyan said.
The Committee voted for the draft.
Read also
The proposed amendments to the RA Tax Code were debated in the first reading at the regular sitting of the Standing Committee on Economic Affairs convened on January 10.
National Assembly of the Republic of Armenia
