Excise tax rates for some commodities in Armenia to be increased on May 1, 2016
30.10.2015,
11:40
The Armenian National Assembly amended Thursday the excise tax law.
YEREVAN, October 30. /ARKA/. The Armenian National Assembly amended Thursday the excise tax law.
Vakhtang Mirumyan, deputy finance minister, presenting the amendments to lawmakers, said they implied revision of excise tax rates for vodka, cigarettes, diesel, gasoline and liquid gas upward.
He said that the amendment was prompted by the necessity of bringing Armenia's excise tax rates in tune with the Eurasian Economic Union's excise tax rates.
«In particular, Armenia’s excise tax rates for vodka and cigarettes fourfold lower than those of other countries of the Eurasian Economic Union, and therefore we propose to raise excise tax rates for these goods by 10%,» he said.
Mirumyan said that this doesn't apply to the wine and brandy made in Armenia, since they are very important for development of Armenia's economy.
He said the amendments also propose to adjust in accordance to the index excise tax rates for gasoline and diesel, which remained unchanged throughout one decade and to include gas used as fuel for vehicles in the list of goods subject to excise taxation.
The deputy minister said that the amended law will come into force on May 1, 2016, not on January 1, 2016, as scheduled before.
«The proposed initiative will not weaken domestic producers' position and let them remain in more favorable situation,» he said. «As for fuel, we don't think the new excise tax rate will impact final prices for consumers, since companies' profits allow them keeping prices pegged.»
Members of parliament voiced discontent over Mirumyan’s position, stressing that the increase of the excise tax rates will drive prices up.
They are convinced that the introduction of excise tax for gas and increase of excise rates for fuel will surely raise public transport fares. MPs think this step will worsen social and economic things in the country.
Some of them still voiced approval of the step saying the increase of tobacco and alcoholic products will contribute to struggle against smoking.
Despite the legislators' protests, the bill was passed by 86 votes for and 25 votes against it and with one abstainer. ---0----
Vakhtang Mirumyan, deputy finance minister, presenting the amendments to lawmakers, said they implied revision of excise tax rates for vodka, cigarettes, diesel, gasoline and liquid gas upward.
He said that the amendment was prompted by the necessity of bringing Armenia's excise tax rates in tune with the Eurasian Economic Union's excise tax rates.
«In particular, Armenia’s excise tax rates for vodka and cigarettes fourfold lower than those of other countries of the Eurasian Economic Union, and therefore we propose to raise excise tax rates for these goods by 10%,» he said.
Mirumyan said that this doesn't apply to the wine and brandy made in Armenia, since they are very important for development of Armenia's economy.
He said the amendments also propose to adjust in accordance to the index excise tax rates for gasoline and diesel, which remained unchanged throughout one decade and to include gas used as fuel for vehicles in the list of goods subject to excise taxation.
The deputy minister said that the amended law will come into force on May 1, 2016, not on January 1, 2016, as scheduled before.
«The proposed initiative will not weaken domestic producers' position and let them remain in more favorable situation,» he said. «As for fuel, we don't think the new excise tax rate will impact final prices for consumers, since companies' profits allow them keeping prices pegged.»
Members of parliament voiced discontent over Mirumyan’s position, stressing that the increase of the excise tax rates will drive prices up.
They are convinced that the introduction of excise tax for gas and increase of excise rates for fuel will surely raise public transport fares. MPs think this step will worsen social and economic things in the country.
Some of them still voiced approval of the step saying the increase of tobacco and alcoholic products will contribute to struggle against smoking.
Despite the legislators' protests, the bill was passed by 86 votes for and 25 votes against it and with one abstainer. ---0----
