How can Armenia equal with Africa by tax collection level?

PanARMENIAN.Net - IMF resident representative in Armenia Guillermo Tolosa has darkened such “bright” statistical data, declaring that the ratio of tax collection level to GDP in Armenia is lower than in African countries. The IMF representative regretted to say that RA government’s measures aiming to improve the tax administration system did not give a desirable result and some reforms proceeded slower than expected. In particular, IMF shared the concern of the authorities on the low level of big business tax collection and advised the RA State Revenue Committee controlling big taxpayers to work more actively.

Armenian Prime Minister Tigran Sargsyan said that he fully agrees to the criticism that the government does not properly control big business, which also impedes development of small and medium-sized businesses in the country. He also voiced anxiety that the burden of tax commitments fell on SMBs and not big business and confessed that a number of measures undertaken by the government for two years have not produced satisfactory results.

As of April 1, 2010, the RA Ministry of Finance has already introduced the list of 285 large taxpayers, whose annual profit exceeded AMD1bn in 2009. The conclusion of the independent external audit on those taxpayers’ activities will be published for the first time in this connection. The publication will enable the public to watch the activities of these economic entities as well as activities of country’s state structures “so that no minister or MP will not have his own business.”

As a matter of fact, no minister or MP runs his own business in Armenia, but their “second aunts” own big companies. So, to convince Armenian citizens of big business transparency is an overwhelming task.