Tax Authority Threatens Company: PESC Responds to Allegations

The State Revenue Committee (SRC) has responded to the statement issued by the company "HALDI.CO," claiming that the SRC threatened its representatives.

The SRC’s statement is as follows:

"The company "HALDI.CO" operates in Yerevan at the addresses Demirchyan 22, Baghramyan 25, and Khorenatsi 20, apt. 40. At the first two addresses, it is engaged in public catering, while at the last address, it carries out commercial activities. The average daily fiscal turnover indicated by the company does not reflect that "HALDI.CO" fully declares its sales turnover. Data reflected in the tax authority's information base confirm that the company's reported fiscal turnover at the three addresses is evidently far from reality and contains clear risks of underreporting sales turnover.

At the same time, the number of employees that "HALDI.CO" has at the three addresses cannot be considered realistic. Moreover, the registered employees’ professions indicate that the company also lacks the registered specialists necessary to carry out its activity (for example, it is impossible to provide culinary products without a chef).

The number of employees reported by the company (working hours) and the amount of declared salaries are several times lower than the salaries paid in Yerevan.

These issues were presented to the taxpayer, suggesting that they rectify the risks of underreporting taxes. Instead of resolving the situation, the business has made unfounded publications on social media.

According to the RA Tax Code, any information received by the tax authority or tax official about the taxpayer and their activities is considered tax secrecy, except for information published by the taxpayer or with their consent.

Taking into account the above provision, the tax authority cannot publish the company’s indicators that would make the risk factors of the company accessible to any citizen.

However, to prevent a one-sided impression of the tax authority's work from forming in the public, the tax authority suggests that "HALDI.CO" publish, together with a similar statement, the average daily declared fiscal turnover of the company by separate addresses, the declared working hours of employees, the sizes of average daily net salaries, the registered professions of employees, and other indicators reflecting the company’s tax compliance.

As an alternative, the company may consent, and the tax authority may also publish the aforementioned indicators.

Moreover, it is reminded that the company specifically stated:

"HALDI.CO Demirchyan 22" posted on its Facebook page:

"Dear friends, an interesting event has occurred today; we have been invited for a discussion by the tax inspection. The content of the discussion was that we need to think about the state and increase tax revenues. We want to emphasize that throughout our operations, we have been conscientious taxpayers, always issuing invoices and registering all employees.

In the end, a demand was presented to include a 10% service charge in the invoice; otherwise, 'Every day we will summon your employees to discuss, you will have no workers, and we will create other obstacles for your work.' In that case, an 800 dram coffee will automatically turn into 880 drams, and worst of all, this price increase has no economic justification and you will pay that difference.

The most frustrating fact is that our tax authorities operate using 'racketeering methods.' We ask all interested parties to share this statement and help us find a way out of this situation. After all, this is a systemic problem."