Iran's direct tax incomes reach 16 billion USD in 8 months

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Iran's incomes from direct taxes reached 16 billion U.S. dollars during the first eight months of the current Iranian calendar year, which began on March 20, Tehran Times daily reported on Thursday.

Director of the State Tax Affairs Organization, Ali Askari, said that direct and indirect tax incomes grew by 20 percent and 43 percent respectively compared to the same period of previous year, said the report.

Tehran Chamber of Commerce Chairman Yahya Al-e Eshaq said on Oct. 31 that Iran would replace oil incomes with tax revenues in the next calendar year's national budget act, according to the daily.

The next year's budget act would pay special attention to tax incomes, he said, adding that tax incomes would be the main sources of securing the state budget.

Iran's Minister of Economic Affairs and Finance Shamseddin Hosseini said last week that if the administration faced any problem in selling crude oil, it would make for costs of using tax revenues.

Iran is under a number of unilateral Western sanctions on its oil and financial sectors over its controversial nuclear program.

According to Tehran Times, currently, the share of taxes in Iran's GDP is about seven percent. However, Iran has to increase tax incomes by 2.5 times with no other choices due to the Western sanctions.

As a part of the Iranian Economic Reform Plan, the Iranian government has also proposed income tax increases on traders in gold, steel, fabrics and other sectors.

In 2011, the government announced that it aimed to increase tax revenues, simplify tax calculation method, introduce double taxation, mechanize tax system, regulate tax exemptions and prevent tax evasion.

There are virtually millions of people who do not pay taxes in Iran and hence operate outside the formal economy. Endi

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