ARMENIAN TAX CHIEF SACKED
By Emil Danielyan

Radio Liberty, Czech Rep.
July 16 2007

President Robert Kocharian dismissed the head of the Armenian
government’s main tax collection agency and replaced him by one of
his senior aides on Monday.

A statement by Kocharian’s office did not explain why Felix Tsolakian,
head of the State Tax Service (STS), was relieved of his duties. It
said only that he will now serve as a presidential adviser.

Tsolakian’s replacement, Vahram Barseghian, has until now run
Kocharian’s Oversight Service tasked with combating financial
irregularities and other corrupt practices within various-level
government bodies.

Incidentally, Tsolakian headed the service before being appointed as
STS chief four years ago. The 55-year-old had previously held senior
positions in the Soviet KGB and its Armenian successor agency, the
National Security Service.

Armenia’s tax revenues have grown substantially since 2003, even if
they still account for a very modest share of Gross Domestic Product.

They rose by 24 percent to 162 billion drams ($480 million) during
the first five months of this year, helping the government post a
rare budget surplus.

It is not clear if Tsolakian’s dismissal has any connection with the
recent launch of a government plan of legislative and administrative
measures aimed at significantly raising the tax revenues in the
next few years. The three-year plan calls for the abolition of
controversial tax breaks enjoyed by local and foreign firms, improved
tax administration, and a tougher crackdown on widespread tax evasion.

From: Emil Lazarian | Ararat NewsPress