Page 31 - IRANRptDec21

6.1.1 Budget dynamics - tax issues, revenues
Tax evasion in Iran tops $4bn
The head of the Iranian Tax Office has admitted that tax evasion in the country has topped IRT100tn ($4bn), according to IBENA on June 7. Tax evasion in Iran has been a perennial problem in the country as both private and government sector organisations and companies avoid their fair share of tax payments. The Rouhani government in its first term attempted to give the tax office more powers including allowing them to investigate the spouses and children’s accounts of CEOs of companies.
Omid Ali-Parsa, head of the Tax Office, has said at least half of the large tax evasion in the country is direct tax evasion while the other half is related to tax arrears.
He said that some IRT37tn was lost due to insufficient infrastructure and staffing issues able to chase the tax evaders.
Ali-Parsa made the statement following Farhad Dejpsand, the Minister of Economy of Iran, saying that the amount of realisation of tax revenues last year (1399) was about 108%, which "this figure was 8% more than the owed amount.”
6.1.2 Budget dynamics - funding, privatisation
Iran to issue sukuk worth up to $217mn to fund oil and natural gas projects
Iran is planning to issue sukuk securities worth up to $217mn to fund oil and natural gas projects, the country’s official energy news portal SHANA reported on May 2.
Vice President Eshaq Jahangiri reportedly signed off on the decision to ahead with the issuance, authorised under the annual state budget. It will permit the oil, energy and industry ministries to issue sukuk—Islamic sharia-compliant bonds—with a value of up to Iranian rial (IRR) 35 trillion ($217mn at the free market exchange rate).
Foreign investors, including France’s Total, have withdrawn from Iran’s oil and gas industry since the US reimposed heavy sanctions on the Islamic Republic in May 2018. Under those sanctions, the US initially issued waivers that allowed designated countries to import Iranian crude oil without fear of penalties being pursued by Washington, but in May 2019 it switched to a policy of attempting to drive all oil exports from Iran off world markets. There have since been widely varying reports on how successful Iran has been at exporting oil through grey market channels.
31 IRAN Country Report December 2021 www.intellinews.com