VAT; Barrier to production and the cause of opaque economy
The economist described the VAT as a barrier to production and said: "Unfortunately, the process of collecting VAT in our country has lost the incentive to pay this type of tax, which means that if someone acts transparently, he will be harmed."
According to the International Iranian Stone Exhibition, Javad Aouni, referring to the imposition of VAT, said: "Unfortunately, we are facing two problems in relation to the VAT law." First of all, this law has a problem, and then it has a contradiction with the situation of the society, which is a factor for the complete non-fulfillment of the VAT law.
"VAT is in fact the consumption tax," he said. This means that taxes can be levied on many goods, for example, one person who is a producer makes a profit, followed by a tax and a person who consumes.
He added: "Social justice requires that someone who consumes a lot, pay more taxes, and also if he uses more facilities of society, pay more taxes, because the basis of paying taxes in the past was like this." In other words, the income of individuals was the criterion for collecting taxes.
"Currently, the tax collection process is such that people who consume more pay more taxes, which is closer to social justice," Ouni said.
He further stated: As a result, VAT is a kind of consumption tax.
Asked how many countries in the world pay VAT, he said: "The VAT law is implemented in nearly one hundred and seventy countries."
He continued: "Of course, many of these countries are oil producers." It was therefore expected that due to US unilateral sanctions, the VAT rate would be reduced from 9% to 2% to 3%.
Ouni said: collecting VAT in the country means that if the production wants to buy sex, it is obliged to pay VAT, but, since it is not the final consumer, when it comes to the invoice, it comes and takes it again, why? That is the consumption tax and the final consumer must pay.
"Currently, there is a system in which people can check the creditworthiness of their trading party, whether the trading party has credit or not," the economist said.
He said: "Unfortunately, there is a problem with the existing system, so that as soon as you saw the transaction that the other side of your transaction is valid, you can pay taxes and collect from the government, but in practice these friends of ours in the organization, They say no, he did not bring it after the deal and he did not give it. In other words, the credentials are not updated as this has become problematic.
"Unfortunately, at the moment, VAT is being paid to producers with a lot of delays, which is a kind of violation of the law," Ouni said, referring to other problems with VAT.
Referring to the impact of lack of access to liquidity on production, he said: "Unfortunately, this problem causes a significant slowdown or reduction in production, so that the loss is only to the producer because the government collects taxes, but it's to the producer." he does not give.
In response to a question about whether VAT has cost transparency, he said: "Unfortunately, the process of VAT collection in our country has lost the incentive to pay this type of tax, which means that if someone Act transparently, you will be harmed.
He continued: "People who act illegally in the VAT debate will make more profit and question the main nature of this type of tax."
In the end, Ouni pointed out: MPs are expected to present a plan to amend the VAT law so that producers may suffer less from this valley and this tax will not be a barrier to production.
VAT has become a factor in the reluctance of some producers in the country, because according to production activists, in many cases, VAT increases production costs and in practice does not leave much profit for the producer, which It has become a factor in the prosperity of the underground economy.
In general, it should be borne in mind that the VAT law is a law copied from other countries, which unfortunately has not been properly implemented in our country, which has led to many problems.
