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The purpose of the legislative package is to revise the micro-enterprise taxation system in such a way that it really serves the goals originally set for this taxation system,” the RA Deputy Minister of Finance Arman Poghosyan said, presenting the package of draft laws on Making Amendments and Addenda to the RA Tax Code and on Amending the Law on Temporary Disability and Maternity Benefits for debate in the first reading.

He informed that the micro-enterprise taxation system was initially characterized as a preferential taxation system , the purpose of which was to create preferential taxation conditions for small economic entities that provide services to the population, perform work for the population and supply goods. During the use of the system, it was found out that the system is used not only by small economic entities that provide services to the population, perform work for the population and supply goods, but also those economic entities that receive income from other economic entities.

The Deputy Minister presented details about the proposals.

“The purpose of these proposals is to limit tax evasion,” the Deputy Minister noted.

Tsovinar Vardanyan presented the endorsement of the NA Standing Committee on Economic Affairs on the draft. According to her, the adoption of the package will ensure a healthier and more competitive field for business. She said that some unscrupulous economic entities have used the preferential system of taxation of micro-enterprises and by showing their incomes even less, they avoid paying taxes.

The deputies of the NA Civil Contract Faction Gevorg Papoyan and Babken Tunyan emphasized the importance of the adoption of the package for micro-business.

Babken Tunyan responded to the opposition colleagues, noting that the legislative initiative is not being debated urgently, as it has been put into circulation since October 11. “The deadline for submission of proposals by the MPs had expired, no proposal was presented, and the Committee debated it in accordance with the established procedure on the previous day, in which the opposition MPs did not participate,” the Deputy Chair of the NA Standing Committee on Economic Affairs said.

The parliament debated the legislative package on November 24.