Yerevan, Armenia – September 19, 2024
Public hearings were held on the initiative of the second working group of the EaP CSF Armenian National Platform, dedicated to the increase of turnover tax and its negative impact on the development of small and medium-sized enterprises in Armenia.
Edgar Khachatryan, the CSF Armenia Country Facilitator, delivered a welcoming speech. Armen Martirosyan, Vice President of the Union of Manufacturers and Businessmen of Armenia and Coordinator of the WG2 of the EaP CSF Armenian National Platform, moderated the discussion.
Deputy Minister of Finance of the Republic of Armenia Arman Poghosyan, Deputy Minister of Economy of the Republic of Armenia Sevak Mikaelayan, President of SME Association Hakob Avagyan, and Chairman of the “Taxpayer Protection” NGO Paylak Tadevosyan participated in the event and presented their reports.
During the hearings, officials, representatives of small and medium-sized enterprises, experts, and government officials discussed the following issues:
• The impact of the turnover tax increase on small and medium-sized enterprises: Participants in the discussion emphasized that an increase in the tax burden could lead to job cuts, price increases, and, ultimately, the closure of many small companies.
• Alternative sources of government budget revenue: Experts suggested discussing other options for replenishing the state budget that would not have such a negative impact on small and medium-sized enterprises.
• Support measures for small and medium-sized enterprises: Participants in the discussion called on the government to develop and implement a comprehensive package of measures to support small and medium-sized enterprises.