Armenia to tax luxuries

Armenian government has prepared a package of laws designed to overhaul the tax system, including introducing new taxes on luxury cars, RIA Novosti reports.

Introducing the 2012 budget, Sarkisyan told parliament that tax would rise 5% to 25% for individuals earning more than 2 million drams (5.3 thousand dollars).

Tax on expensive alcohol, casino games and slot machines would rise 50%, netting a planned 4 million drams to the budget, although some details were still to be worked out.

Administrative procedures would be simplified for small businesses earning up to  around $25,000, while rules for large businesses and the banking sector would be toughened.

Sarkisyan noted that laws on free trade zones were in the budget, including the CIS agreement signed in St Petersburg and economic stimulation measures.