There are formal differences between registering and being considered as a value added tax (VAT) payer, but they are essentially the same in terms of content. This was reported by Kaghtsrik Gevorgyan, a lawyer in charge of external relations of Step Consulting.

"Such formal requirements result in the fact that a person faces a problem with the realization of his right to return the accumulated VAT debit balance or is completely deprived of such right if he is unable to submit a statement on being considered a VAT payer, even for technical reasons, or forgets to submit such a statement due to his omission, despite the fact that the latter is already automatically considered a VAT payer."

Thus, despite the fact that Article 5 of the RA Law "On Fundamentals of Administration and Administrative Procedure" prohibits administrative bodies from denying individuals any rights only for the purpose of meeting formal requirements, if the duties imposed on them have been fulfilled in terms of content, in the specified situation there are cases where the individual is actually deprived of the return of the tax balance of millions of drams accumulated in accordance with the law.

Such tax administration can harm small businesses, contradict the principle of simplicity defined by the RA Tax Code, and also call into question the 2021-2026 plan of the RA Government: the goals in regards to the tax administration defined by the program" says the lawyer.

The source of the article:  iravaban.net

18 April 2023, Tuesday | 617