The health care and education should be subject to VAT and become tax deductible, stated the chairman of the American Chamber of Commerce (AmCham) in Armenia, Tigran Jerbashian, introducing an alternative version of the Tax Code developed by the Chamber.

At the same time, it is necessary to introduce a system of deductions from the tax on income from the university or hospital, provided that the checks are introduced. On one hand, it will increase the financial transparency , on the other hand, will encourage legal employment ( Dzhrabshyan did not specify how an employee in Armenia will be able to set conditions to his employer) . The precedent for such a tax deduction already exists in Armenia. The policy is used in the mortgage system and is applied for loans from November 1, 2014.

According to the calculations of AmCham , the new system will hardly  increase prices of education and medical services , said Jrbashyan . It should be noted , the suggested policy is not included in the draft Tax Code, which the Armenian Parliament has already passed during 1st reading and is preparing for the 2nd .