Car import and sales companies organized a protest today, November 27, in front of the presidential residence. They are demanding the cancellation of a new draft law on customs that requires them to pay 20% customs duty and 18% VAT. Vardan Onanyan, the founder of “American global group” car importing company, spoke to reporters during the demonstration. He stated that they are requesting exemption from the obligation to pay customs duty and VAT on bodies. Their goal is to maintain their financial strength and prevent any obstacles to the adoption of the new law.

“We are all in distress, including our customers who have signed contracts with car importing companies and are waiting for their cars,” Onanyan said. He explained that the 20% profit they make from imported cars is already used to pay taxes, customs duties, and VAT. Therefore, imposing additional taxes will require them to sell cars at a higher price, causing inconvenience to both the car importers and their customers.

In response to this issue, the head of the car importing company announced that they have prepared a statement. This statement will be submitted to the Executive Office of the RA President. The purpose of this statement is to request the president not to sign and promulgate the law that was adopted in the first reading on November 14.

Prior to this protest, car importers had already held demonstrations in front of the Government and the State Revenue Committee. They have been raising their concerns about the upcoming changes and amendments to the Tax Code, which will come into effect on December 1. These changes specifically regulate the taxation of car imports by car importing companies. Under the new law, importers are required to achieve a 20% profit, but they will have to pay 18% as customs duty and VAT.

It is important to note that these amendments were adopted by the Parliament on November 16. The car importers argue that these additional taxes will burden them and force them to sell cars at a higher price. This will ultimately affect the consumers who will have to pay more for their desired cars as a result of these taxes imposed on importers.

Overall, the car importers are seeking relief from the financial obligations imposed on them by the new draft law on customs. They believe that these taxes will weaken their financial strength and hinder the adoption of the new law. As a result, they are making their voices heard through peaceful protests and submitting a statement to the Executive Office of the RA President. The outcome of these actions remains to be seen, but the car importers hope for a favorable resolution to their concerns.

Source: News from Armenia – NEWS.am