Raul Khadjimba: Tax-free state can not exist

RA President Raul Khadjimba appealed with an annual address to the People's Assembly of the Parliament of the Republic of Abkhazia.

Sukhum. January 20. Apsnypress. In particular, RA President Raul Khadjimba, said: "On the Law" On Value Added Tax "much has already been said. This law has been discussed at the stage of the project with representatives of business, with members of Parliament. There have been proposals to further expand the list of goods that would be subject to the Act. Today we see the outrage of small businesses". At the same time Khadjimba expressed surprise that entrepreneurs themselves often meekly give a more substantial financial sums to representatives of the inspecting structures than those that are required to pay to the state. "The government and parliament should resolve this issue. However, all stakeholders need to understand: tax-free state can not exist ", - said Khadjimba.

He said: "We are perhaps the only country in the world that charge the kind of tax from their manufacturers and foreign products manufacturers when they are imported into Abkhazia are exempt from paying it. This budget was deprived of income for hundreds of millions of rubles. What kind of equal conditions for development and business in general can be discussed, when our own producers are in discriminatory conditions?"

According to the President, this is only the first step on the difficult path of reform:" The practice of levying certain taxes shows that current legislation has a number of limitations and shortcomings that adversely affect the collection of taxes".

Khadjimba assured: "We are ready for further major reforms, such as reform of the Law "On Accounting ", the introduction of modern technologies in the field of electronic document management, reforms in banking and insurance, further strengthening of anti-corruption legislation and legislation in the field of investment activity, reducing the number of inefficient taxes".

By order of the President has been set up a working group on the optimization of taxes, fees and other mandatory payments.

"Our main goal is to reduce the number of taxes to 10-12, make the process of paying them simple, transparent and automatic, as well as improve tax legislation regarding tax rules in the field of small and medium-sized enterprises, levying special tax and the introduction of the patent system of taxation", - noted in the President's Address.