TAX REVENUES EXAMINED PUBLICLY
By Mher Ohanian

Yerkir.am
May 19, 2006

The State Tax Service publicized the list of 1000 largest tax payers
of the country. The list shows that there are almost no changes among
the leaders of Armenian business.

The top three largest tax payers are companies with foreign capital.

Nevertheless, the fact that the list included 1000 companies as opposed
to the previous list of 300, can be considered a positive development
which can sober up a little the shadow segment of our economy.

What is the distribution of the tax payers?

The copper-molybdenum factory in Zangezur is the largest tax
payer. The company paid 5 billion drams in taxes in the first quarter
of 2006. The second largest tax payer is ArmenTel which paid 3.8
billion drams. The third largest tax payer is ArmRusGasArd Company
that has paid approximately 3.2 billion drams in taxes.

There are not many companies in the list that have changed their
position compared to the list of 300 largest tax payers publicized
earlier. One of such companies is K-Telecom, the second operator of
mobile telecommunications, which was the 15th in the last year’s list
while this year it moved up to the 7th position.

In the first quarter of 2006 K-Telecom paid 1.5 drams in taxes. The set
of hydro-power stations in Vorotan moved up from the 24th position it
occupied last year to the 12th this year. Fleetwood Company that was
the 5th in the last year’s list moved down to the 32nd position this
year. This company is a monopoly company importing sugar to Armenia.

The companies dealing with fuel, cigarettes and alcohol have stable
positions in the list of largest tax payers. Flesh and Kaghpetrol
Service Companies specializing in import and sale of petrol and diesel
occupy the 4th and 5th positions respectively. In the first quarter
of this year they have paid 3.6 billion drams in taxes. Grand Tobacco
and International Masis Tabak Companies specializing in production
and sale of cigarettes have paid 2 billion drams in taxes together.