The National Assembly’s Economic Affairs Committee has given a positive opinion on a legislative initiative aimed at improving the tax environment for car rental and leasing services.

The draft law, authored by MP Babken Tunyan, proposes amendments to Armenia’s Tax Code and addresses tax challenges that arose from regulations adopted two years ago affecting companies providing rental and leasing services for vehicles. The goal of the initiative is to eliminate those hurdles, according to 1lurer.am .

One key proposal is to remove the profit tax margin currently applied to such services.

While the finalized version of the bill states that the law would take effect on July 1, a one-month postponement is now being proposed.