Iran earns roughly $16b in direct tax incomes over 8 months

TEHRAN,Nov.29(MNA) - Iran gained roughly 194 trillion rials (about $16 billion) in direct tax incomes during the first eight months of the current Iranian calendar year, which began on March 20, ISNA quoted State Tax Affairs Organization's director Ali Askari as saying. He added that direct and indirect tax incomes grew by 20 percent and 43 percent compared to the same period in the previous year. On October 31, ILNA quoted Tehran Chamber of Commerce Chairman Yahya Al-e Es’haq as saying that Iran will replace oil incomes with tax revenues in the next calendar year’s national budget act. The next year’s budget act has paid special attention to tax incomes, he said, adding that tax incomes will be the main sources of securing the state budget. Economic and Finance Minister Shamseddin Hosseini said last week that if the administration faces any problem in selling crude oil, it will make for costs through the use of tax revenues. Iranian Parliament is preparing a bill aimed to decrease taxes and social welfare charges of the producers by 10 percent and 15 percent respectively. Currently, the share of taxes in Iran's GDP is about 7 percent. On August 10, Askari said that the current year's budget law has envisaged earning some $27.7 billion as a tax income. Decreasing taxes may help industry sector to revive a little, but regarding western sanctions targeting Iran's oil revenues, Iran has no choice, but to increase tax incomes by 2.5 times. Last year, Iran's GDP was about $411.4 billion, while oil revenues from exporting crude oil and petroleum production were about $115 billion.