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Budget of Kyrgyzstan not to get 8.2 billion soms due to smuggling

According to the results of this year, the budget of Kyrgyzstan will not get 8.2 billion soms on all items due to smuggling. Deputy Azamat Arapbaev announced today at a meeting of the Committee on Economic and Fiscal Policy of the Parliament of Kyrgyzstan.

According to him, the budget loses about 3 billion soms from domestic investors. This is only from non-payment of value added tax (VAT). Entrepreneurs cannot compete with smuggling of goods.

«In 2019, we will not get an excise tax of 3.1 billion soms. For example, 60,000 tons of diesel fuel and 60,000 tons of gasoline, that is, 120,000 tons of fuel and lubricants were brought to Kyrgyzstan without payment of taxes. From this we can calculate the excise tax, VAT and other indirect taxes that should have been paid. If we take the flour, then in 2014 the official import of wheat was 460,000 tons, in 2018 — 80,000 tons. That is, we did not get 360,000 tons of wheat due to the fact that huge flows of flour entered our country. These are unaccounted goods, unpaid taxes and lost jobs. There are almost no domestic flour mills now in the country. About 3,000 citizens were left without work. I think that the overwhelming majority of them have left the country as labor migrants,» Azamat Arapbaev said.

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