We already took the first step to study the effectiveness of tax breaks, - said the Deputy Minister of Finance Giorgi Kakauridze. According to him, tax expenses are calculated at the first stage.
“We cannot talk about the effectiveness of the tax breaks today until it is fully evaluated. After the research, we can decide which tax breaks should be continued and which canceled. One-two months will not be enough for this process. The first step we took was to calculate the tax expenses. This process is not over either. I think that under the new program with the IMF we will be able to evaluate the effectiveness and then the decisions on abolishment of tax breaks will be submitted to the Parliament with the relevant arguments.
The total amount may be more than 2 billion, which remains in the economy due to the tax breaks, but the calculation is still needed, because the calculation is based on methodology, which requires serious research, assisted by USAID and IMF technical mission," - said Kakauridze.
Former Prime Minister of Georgia Giorgi Gakharia and the former Minister of Finance Ivane Machavariani were talking about the revision of ineffective tax breaks late in 2020.
"We will have to review many tax breaks, which effectiveness is under the question for a long time, and our business and citizens should understand this," Giorgi Gakharia said during a meeting with lawmakers in parliament last December.
