With the signing of the Memorandum of Understanding between the Chairman of the RA State Revenue Committee Edward Hovhannisyan and the General Director of Veolia Jur CJSC Marianna Shahinyan, the pilot program of transfer pricing control was launched. The pilot program will be jointly implemented by the staff of the RA State Revenue Committee and Italian Tax Service within the framework of the "Tax Inspectors without Borders" program of the Economic Cooperation and Development Organization.
The problem is that Transfer pricing regulations have been in force in Armenia since January 2020. One year has passed; it is time to check the first results of this economic innovation, which will be the basis for the RA State Revenue Committee to introduce a system of transfer pricing inspections, and later to conduct inspections at other economic entities. Veolia Jur CJSC was selected as a partner by the RA State Revenue Committee from among 15 organizations initially selected as a result of risk analysis.
The pilot test will be conducted according to the actual test rules․ Relevant documents will be studied, as a result of the analysis the risks will be revealed and will be discussed with the taxpayer.
Of course, all this corresponds to the interests of Veolia Jur Company, the 32nd largest taxpayer in Armenia. That is why the leadership of the latter agreed to participate in the pilot program proposed by the RA State Revenue Committee. It will be instructive for the water utility to submit notifications to the tax authorities about the controlled transactions and to be informed about other regulations.
"This pilot initiative of the RA State Revenue Committee with the Italian Tax Service has been very positively accepted in the Veolia Group, and here I should mention that such kind of relations are highly valued by foreign investors. This cooperation once again emphasizes our transparent activity and the fact of being a responsible taxpayer. As an international body, Veolia is familiar with and applies this legislation. We are ready to support the initiative in any way, to involve the employees of the Headquarter office in order to ensure our accurate and competent implementation of the system,”- says General Director Marianna Shahinyan.