Iran fixes value-added tax at 6 percent for next calendar year

Business Materials 16 March 2013 14:16 (UTC +04:00)

Azerbaijan, Baku, Mar.16/ Trend G.Mehdi/

Iran's Tax Affairs Organization has announced that the value-added tax will be at 6 percent in the next Iranian calendar year, which starts on March 21, the Mehr News Agency reported.

According to Iran's fifth five year national development plan (2010-2015), the value-added tax increases by one percent each year.

On March 13, ISNA quoted the State Tax Organization deputy director Alireza Taribakhsh as saying that value-added tax income in Iran has risen by 46 percent in the current Iranian calendar year, which ends on March 20, showing 46 percent growth year on year.

The income was at 103 percent of the figure which has been envisioned by the budget law, he noted.

Iran's Finance and Economic Affairs Ministry has Set the target of 430 trillion rial (about $35 billion) in tax incomes for the next Iranian calendar year, while the State Tax Affairs Organization has cast a doubt on realizing the goal, ILNA reported.

The organization has said that this year's tax revenues had been projected to hit 360 trillion rial (about $29 billion), but just 90 percent of the planned sum will be earned in the most optimistic case.

On January 1, the Fars News Agency quoted Askari as saying that the Iranian administration earns about 43 percent of its current budget through tax incomes.

According to the fifth five-year national development plan (2010-2015), 100 percent of the needed sum should be secured through tax incomes by the ending year of the plan, he added.

On November 28, 2012, Askari said that Iran gained roughly 194 trillion rial (about $16 billion) in direct tax incomes during the first eight months of the current Iranian year.