Iran to increase value added tax by one per cent

Business Materials 24 December 2012 15:34 (UTC +04:00)

Azerbaijan, Baku, Dec. 24/ Trend G.Mehdi/

Value added tax (VAT) in Iran will be increased by one per cent to reach six percent in the next Iranian calendar year, which begins on March 21, 2013, ISNA quoted State Tax Affairs Organization's director Ali Askari as saying.

According to the fifth five-year national development plan (2010-2015), VAT should be increased by one per cent each year.

On November 28, Askari said that Iran gained roughly 194 trillion rials (about $16 billion) in direct taxable incomes during the first eight months of the current Iranian year.

On December 12, the Fars News Agency quoted the State Tax Affairs Organisation's deputy director Hossein Vakili as saying that Iran foresees 370 trillion rials (about $31 billion) in tax revenues and 110 trillion rials (about $9 billion) in chargeable income for the next Iranian year.

The next year's national budget bill has envisaged 370 trillion rials in tax revenues, compared to 340 trillion rials in the current year's budget bill, he said, adding that chargeable income has been envisaged to remain unchanged at 110 trillion rials.

On October 31, ILNA quoted Tehran Chamber of Commerce chairman Yahya Al-e Es'haq as saying that Iran will replace oil income with tax revenues in the next calendar year's national budget act.

The next year's budget act has paid special attention to tax incomes, he said, adding that they will be the main sources of securing the state budget.