Iraqi specialists describe the tax system as "distorted" and assert: government is looking for easy-to-revenue
2015/11/10
Long-Presse / Baghdad
Osq specialists, Tuesday, Iraqi tax system as "distorted and inactivated" despite attempts "timid" to fix it, Adin, that economic reform "will not be" without reforming the tax system, a "real challenge" for the government, and as he emphasized economic advisor to the Prime Minister, that the lack of accurate statistics forced the government to impose Find "easy collection and management of taxes", the General Authority for taxes pointed out that the revenues of one billion and 350 million dollars in 2014 and will increase over the current year 2015.
Since the first law to tax in Iraq in 1927 legislation, and until the completion of Law No. (113) in 1982, there has been no development or change in the tax legislation, as a result of preoccupation with the former regime of war more than economic orientation, and after the change in 2003, issued a CPA Order No. (49), which reduced the tax, which was between 40 to 60% in the case of companies, to between 3-15%, but it seems that it "did not achieve justice," social tax system, nor did they add only 1% of the value of GDP.
Accountant: Do not fix the economy without the tax system reform
He says the Association of Accountants, a member Mohsen Chuird, in an interview to the (long-Presse), "The tax system in Iraq put an internal economy was controlled by a central considering that the country is rich in oil," noting that "the tax legislation was not given the necessary attention by the community and the state alike. "
And see Chuird, that "Iraq still lacks real justice in the tax, despite the issuance of many of the laws after the year 2003," noting that "taxes levied on specific doors without taking into account the standard of living, including those recently imposed by the government on certain goods, within the framework of efforts to get out of the current financial crisis, or those that are imposed on property and on certain types of imported goods. "
He adds a member of the Association of Accountants, that "the reform of the Iraqi economy will not be without the tax system reform," he returned that "it is the real challenge for the government to achieve the reforms."
Abadi adviser: government is looking for an easy tax
And sees an economic advisor to the prime minister, Haydar al-Abadi, the government is looking for an easy to impose tax collection and management, in light of the lack of accurate statistical information on covered and evaders.
He says the appearance of Mohammed Saleh, said in an interview to the (long-Presse), "The government is looking for easy collection and management of taxes, and found that the most suitable indirect, which include the imposition of fees on sales of charging mobile phones and car sales and internet services cards," adding that "the most difficult thing the tax is collected and managed so there are still no accurate statistics for the tax, subject to a number of citizens to identify paid it, and evaders of them. "
Academy: the tax system in Iraq deformed and disabled
In turn, describes the Academy that the tax system in Iraq as "distorted and inactivated" despite attempts "timid" to fix it by the government, usually the government's actions in this regard "will not achieve" an important financial resource and tax justice.
Says professor of economics at the University of Baghdad, Rafael Hamoudi, said in an interview to the (long-Presse), that the tax system in Iraq deformed and disabled despite the presence of shy attempts of the current government to fix it through national savings decision and removing part of the employees' salaries ", usually that" it will not achieve an important financial resource for the state and tax justice. "
Hamoudi adds, that "tax Ststqta of employees' salaries do not clog only accounted for two percent, any two billion dinars, out of the deficit suffered by the budget of 25 trillion dinars, and the financial savings would be re-staff again."
His company: raising taxes theft
He says the owner of the company, that the applicable taxes today constitutes "stealing" because the state does not offer concrete services to the citizens for them.
Explains Abu Nashwan, in an interview to the (long-Presse), "The applicable taxes today constitute a theft," attributing it to the "tax to pay for better services, water, electricity, health and the streets, and the cleanliness of parks and recreation, etc., and these are non-existent or underdeveloped will not evolve. "
Company owner and expresses surprise at the "left the state owners of large capital lavish salaries of senior officials, and stuck to the simple citizen or merchant or employee to take him amounts without offering in exchange."
See Abu Nashwan, that "the tax in Iraq is far from justice", asking, "Does it make sense to pay taxes exceed a quarter of the value of residential house or car when converting their ownership."
Taxes: revenue amounted to one billion and 350 million dollars in 2014 and will increase more this year
On the other hand looks the General Authority for taxes, which is the entity authorized to levy tax money, more optimistic the tax system and the possibility of support for the Iraqi economy, stressing that the body of the General Tax revenue increased by 13 percent in 2014 the past, compared to that which before him, achieving more than one billion and $ 350 million, likely increased the current year 2015.
According to a source in the body, in an interview to the (long-Presse), said that "tax revenue and despite the reduction of tax 15 percent rate, but it has increased from the previous, due to the expansion of economic activity and import", noting that "the body of the General Tax for the year past 2014 revenues exceeded one billion and $ 350 million, registering a growth of 13 percent over the past year in 2013, "
According to the source, who asked not to be named, said it "is a great success in spite of the loss of body Revenues four border ports, and more than eight of its branches, because of the repercussions of the takeover Daash terrorist gangs on large areas of the country after the tenth of June 2014 the past." ,. expected to "an increase revenues during the current year 2015"
And it confirms the tax source, "The tax does not apply to work the whole production sectors, as it does not include the agricultural sector, although it accounts for between five to six percent of gross national domestic product, and that the industrial sector is subject to tax, but it does not pay what it requirements being a weak effectiveness does not work nearly well, "he continued that" the sectors in which the tax is calculated is the oil sector, especially companies licensing rounds, which goes directly to the production of the state, according to agreements with the Ministry of oil contracts. "
Finance Committee: Iraq suffers weak tax awareness
Meanwhile, the longer the parliamentary finance committee, that Iraq lacks a culture of tax awareness emphasizing the need for the General Authority for taxes to intensify its activities for publishing and strengthened as it requires modifying the law.
According to the Commission's decision, Ahmed Hama Rasheed, said in an interview to the (long-Presse), said that "Iraq lacks a culture of tax awareness as a result of the lack of large industrial, commercial and investment activities," returned to "Parliament has failed repeatedly in the legislation of laws that support the collection of taxes is wasted on the country's resources substantial financial help could have budgets that rely almost entirely about oil. "
It continues Rashid, that "a lot of investment and industrial and commercial companies operating in Iraq evade paying taxes, but they come out of their capital out of Iraq so as not to pay," Msttrda that "the absence of tax awareness among citizens and merchants requires the General Authority for taxes to intensify their activities for publication and strengthened as it requires modifying the law. "
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