Thursday, March 19 2020 15:51
Alexandr Avanesov

Issue of new state duty rates on brandy produced in Armenia is  returned for revision to interagency commission

Issue of new state duty rates on brandy produced in Armenia is  returned for revision to interagency commission

ArmInfo. The issue of new state duty rates on brandy produced in Armenia has been returned for revision to the interagency commission.  As the Minister of Economy  of the Republic of Armenia Tigran Khachatryan noted at a government  meeting on March 19, at present, when organizing the production of  brandy, the entities must pay an annual state duty of 10 million  drams.

Given the fact that it takes at least three years to obtain  brandy and brandy alcohols, entities must pay 30 million drams, which  for many is an overwhelming burden. In this regard, it is proposed to  establish a symbolic state fee in the amount of 50 thousand drams for  each year, and from the moment of sales return to the current rate of  10 million drams per year. Another change proposes to equate the  state duty rates applied to fruit alcoholic beverages to mead, by  setting a single rate of 50 thousand drams per year. When organizing  the same year, the subject, along with the production of brandy and  also vodka, the authorized body is only notified about this. The  Minister noted that the use of new rates will provide an opportunity  to develop the brandy sector, and the funds saved by the entities  will be spent on the purchase of modern equipment.

In response, head of the RA State Revenue Committee David Ananyan  noted that, in fact, we are talking about another tax benefit.  According to the head of the State Revenue Committee, the entities  paying 10 million drams will be more serious in organizing  production, while paying a symbolic amount, corruption risks may also  appear. According to David Ananyan, it will be difficult to control  the process from the organization of production to the start of  sales, especially from the point of view of the origin of grape raw  materials.

Tigran Khachatryan did not agree with this. He recalled that the sale  of brandy products should be carried out exclusively in the presence  of excise stamps issued by the State Revenue Committee. Itmust  control the process before issuing excise stamps.

It should be noted that the issue turned into a debate in which the  heads of various departments turned out to be involved, which sent PM  Nikol Pashinyan over the edge. "For half an hour we are discussing  the issue, which should be adopted within 10 minutes. What then are  the members of the government doing at the meetings of the  interdepartmental commission? Take away the draft, discuss it from  beginning to end and bring the document agreed with all parties,"  Nikol Pashinyan said.