HOW SHOULD THE CUSTOMS COMMITTE WORK?

Hayots Ashkhar Daily
Published on April 18, 2008
Armenia

President Serge Sargsyan yesterday had a working meeting with the
State Customs Committee operating under the Government.

As mentioned by the President, all those who are not ready to perform
their obligations conscientiously should be removed from the system,
and those who are ready to work honestly and render services to the
public and the state will be provided with assistance.

"Our country cannot have individuals and agencies that will have the
opportunity to use pressure against the customs bodies or be engaged
in smuggling," S. Sargsyan emphasized.

In the estimation of the President, being engaged in smuggling is
equal to receiving unearned income which ruins the economy, creating
unequal conditions, and entrepreneurial activity becomes a torment
for a conscientious entrepreneur.

The primary task, according to S. Sargsyan, is the strict struggle
against the so-called "shadow folder" e.g. when a 95 year-old man
living in one of the marzes is registered as an individual allegedly
owning an enterprise which circulates billions of Drams. In a few
months’ period, the enterprise naturally closes and its traces are
not to be found.

"Many of you are aware of the problem; I am even sure that some people
even know who exactly is engaged in such activities, but no measures
are being undertaken," he underscored.

The next problem the President touched upon was the struggle against
the import of the goods which are registered as custom-free products
and no Value Added Tax is paid for them. The President says a large
quantity of such products has been found as a result of the recent
check-ups. "I am sure that without the participation of a customs
officer, such things are impossible," Head of the state emphasized.

Serge Sargysan demanded that the leaders of the customs bodies pay a
special attention to the issue of temporary imports; when a temporary
import is formulated, they import some products which should allegedly
be recycled, but then they are exported from the republic.

The next problem to which the President drew the participants’
attention concerned the so-called control prices. The President is
convinced that the customs bodies do not have the right to change the
prices once a week at their own will. Although the law gives them
this opportunity, their work should be extremely transparent and
accessible to the public. All the control prices should be posted
on the Web sites of the customs bodies, and any person engaged in
entrepreneurial activity should have access to them.

According to Serge Sargsyan, the customs body should work in a way
to achieve the declaration of the prices offered by the importer. The
President believes the state will suffer absolutely no losses in case
the tax agencies and the customs bodies work in conditions of normal
cooperation with each other.