TAX ALLOWANCES FOSTER DEVELOPMENT OF AGRICULTURE
Srbuhi Vanian
Azat Artsakh, Nagorno Karabakh Republic [NKR]
25 May 2006
Speaking about the tax policy on agriculture, an NKR State Tax Agency
official said it is designed to foster development of agriculture. The
policy provides for tax allowances to promote agribusiness. Producers
and processors of agricultural production, as well as traders in
chemicals, pesticides, fertilizers, seeds and seedlings are exempt
from VAT. Taxpayers of certain categories are exempt from the profit
tax and the tax on land. Families immigrating to NKR do not pay the
tax on land for five years. Agricultural and forestry engineering
organizations, research and test stations of educational institutions
are granted a 50 percent allowance for tax on land they use for
scientific tests. In answer to our question whether the taxpayers of
this sector ever lodge complaints with the tax agency we were told
that the agency has not received any letters of complaint so far.