A Study of the Simplified Tax System in the Republic of Armenia

Abstract

This Master Essay assesses the overall situation of simplified tax system in Armenia. The study is based on the original data, which has been collected through the survey of small businesses operating currently in Yerevan city. It elucidates the important aspects of simplified tax system, such as the major problems for simplified taxpayers, the specific issues of tax administration, the correspondence of facts with the purposes for which this tax has been introduced, the difference of taxpayers operating in different regimes. Study makes appropriate conclusions and recommendations for the system. The first part of the essay is the literature review. It reviews the general meaning and implications of tax system, as well as the main characteristics of simplified tax. In addition, the practice of CIS countries is also presented. This part also discusses the overall situation of simplified tax in Armenia, its main problems and strengths. The assessment of tax administration situation in the country is also presented discussed here. In subsequent parts of the essay, the methodology and basic findings are presented. Paper discusses the overall situation of simplified tax based on the findings of the survey. Appropriate tables and figures present the numeric data of the study. In the next part of the study, the analysis of the situation is introduced. The analysis is based on the findings of the research. It assesses various aspects of simplified tax regime, as well as tax administration. In addition, analyze reveals some very specific, essential and intriguing issues about the sphere. At the end of the essay, overall situation is presented. In conclusions, main findings and their implications for Armenian simplified tax system, as well its possible consequences for the small business sector of Armenia are discussed. Some proper recommendations and policy proposals are also made.