2024-03-21 15:54:37
On June 13, the Standing Committee on Economic Affairs of the National Assembly discussed the amended legislative package “On Amendments and Amendments to the Tax Code of the Republic of Armenia” and “On Amendments to the Law on State Duties” in the second reading.
According to RA Deputy Minister of Finance Arman Poghosyan, the subject of the regulation of the initiative is the revision of the system of royalties paid by the companies that extract and operate metal deposits and, in parallel, the withdrawal from the application of the state duty intended for the export of metal concentrate. Accordingly, 2023 is proposed. from January 1, to stop the application of the state duty on copper and molybdenum concentrate, as well as the export of molybdenum, and to make the system more progressive by maintaining the general principles underlying the current royalty system. It is proposed to revise the formula for calculating the royalty rate so that there is no increase in the tax burden on royalties in the case of up to 10 percent profitability of royalty paying organizations. With this approach, the aim is to have such a system in which, in the conditions of the decrease in international prices of metals and, therefore, the level of profitability of organizations, the tax burden on royalties will not be problematic from the point of view of ensuring the continuity of the production and economic activities of organizations. , as a result of which an additional royalty will be calculated at the rate of 15 percent.
In order to revise the package, the Government presented some proposals, which the commission accepted. The commission also presented a proposal, which was accepted by the author. In particular, the MPs proposed to increase the threshold of profitability up to 10 percent proposed by the Government to 15 percent.
The commission gave a positive conclusion to the finished project.
The Standing Committee on Economic Affairs of the National Assembly also discussed the draft law “On Amendments to the Tax Code of the Republic of Armenia” in the second reading. According to Artur Manukyan, Deputy Chairman of the RA State Revenue Committee, editorial changes were made after the first reading.
The purpose of the project is to define the possibility of delaying or installment payment of taxes (VAT, excise tax and environmental tax) calculated for goods imported under the customs procedure “Exemption for domestic consumption”.
The commission gave a positive conclusion to this project as well. The projects will be discussed during the regular sessions of the National Assembly convened on June 14.