Armenian Tax Authority Proposes Draconian Measures Against Businesses

Vahram Mirakyan, co-founder and president of the "Mantashyants" businessmen's union, has issued a stark warning about a proposed legislative change by the State Revenue Committee (SRC) of Armenia. The new law could lead to the imprisonment of approximately one thousand business owners annually.

According to Mirakyan, the SRC plans to amend Article 290 of the Criminal Code, which currently allows for the detention of businessmen for tax evasion exceeding 10 million drams. While the current law permits businessmen to avoid imprisonment by paying the alleged tax debt, the proposed change would keep them incarcerated even after full repayment.

Mirakyan argues that this measure would devastate the Armenian economy, as countless businesses inevitably incur minor tax violations. The proposed law would create a climate of fear, discourage investment, and increase corruption.

The businessman calls for the repeal of Article 290 and the implementation of a more proportional punishment system based on a percentage of business turnover. He also advocates for criminal penalties for tax inspectors who make false accusations.