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The addenda being proposed in the Tax Code refer to the review of return from the income tax the interests of serving the mortgage loan in case of obtaining an apartment or constructing a residential house by the entities or physical persons.

At April 4 sitting, the Deputy Minister of Finance Arman Poghosyan in the second reading presented the draft on Making Addenda to the RA Tax Code.

The purpose of the proposing addendum regional to develop urban development and economic activeness. From January 1, 2027, it is proposed to remove the income tax return by the draft in case of obtained, constructed or building real estates in the marzes (regions) adjacent to the capital in Ararat, Armavir, Aragatsotn and Kotayk regions, and in other marzes – from January 1, 2029.

According to the Deputy Minister, the applicability of the system will promote the increase of the volume of the income tax sums and the encouragement of the urban development investment programmes. Arman Poghosyan stressed that the draft has no return norm, and all the citizens, who will part of this system, no strictness will be carried out on them.

One more amendment is proposed by this draft: From January 1, 2025 the maximum limit for the quarter on the contracts is reduced, becoming 750.000 AMD, instead of the former 1.5mln AMD.

The Deputy Chair of the Committee Babken Tunyan noted that it is expedient to postpone the voting of the issue for solving a number of issues and problems on the draft with their colleagues of the Urban Development and Cadastre Committees up to 2 months.

The proposal for the key rapporteur was acceptable.

The debate of the package of the draft laws on Amending the Tax Code of the Republic of Armenia and on Amending the Law on Free Economic Zones was postponed up to 2 months.