YEREVAN. – The Government of Armenia on Thursday approved the guideline for the strategic precepts toward reviewing the tax and customs laws of the country.

The guideline specifies that the government will gradually forego its privileges, broaden the tax base, and expand the luxury tax. Specifically, a unified real estate tax system will be introduced, and this will enable to tax expensive property with more progressive rates.   

To note, luxury tax is paid for expensive vehicles in Armenia ever since January 1, 2012. 

During Thursday’s Cabinet meeting, Prime Minister Tigran Sargsyan stated that the new luxury tax can provide additional revenue to the state budget. 

“[And] this will enable us to solve social problems,” Sargsyan added.