The RA Deputy Minister of Finance Arman Poghosyan met with representatives of companies producing carbonated drinks who protested against the approach of applying excise tax on carbonated drinks offered by amendment of the RA Tax Code today. During the discussion, the parties touched upon the possible problems caused by introduction of the proposed excise tax on carbonated drinks.
The Deputy Minister of Finance informed that the amendment is based on two considerations: the first is the fiscal goal, which is the increase in supplementary tax revenues, which will allow partial compensation of the loss of state budget revenue arising from the reduction of direct taxes. The second is health care, which implies the reduction of consumption of harmful products.
According to Arman Poghosyan, there is a package version of tax amendments. The proposed draft diminishes direct taxes and instead raises indirect taxes, i.e. the tax burden is transferred from direct taxes to the field of indirect taxation.
Representatives of the companies present at the meeting proposed to return to the preliminary version of the draft, i.e. to apply the excise tax, taking into consideration the sugar content.
As a result of the discussion an agreement has been reached that the Ministry of Finance will discuss the proposals of the companies with other interested agencies and tomorrow, on March 12, the results will be presented to the representatives of companies.