Possibilities for Donations to Educational Institutions Will Expand: Papoyan

The government has presented a draft law to the parliament aimed at ensuring an increase in investments made from non-state funds in the fields of education and science. The draft law on amendments and additions to the Tax Code of the Republic of Armenia was introduced at the National Assembly session by Minister of Economy Gevorg Papoyan.

"The provisions of Article 123 of the Tax Code allow for the reduction of the taxable profit base by an amount not exceeding 0.25% of the gross income for the tax year for the value of assets provided to libraries, museums, general educational schools, boarding houses, nursing homes, orphanages, medical institutions, as well as non-commercial organizations for the works performed and/or services provided to them. With this initiative, we propose to raise that threshold tenfold to 2.5%," said Papoyan.

He provided an example: a high-tech company buys a high-value computer, which may not be of much interest to them after a year, but is an excellent tool for students at the Polytechnic University. And the company wishes to donate it. He emphasized that these donations do not pertain to broken tables and chairs but rather to items and equipment that hold value for education.

“We expect that if the project is adopted, businesses will direct more funds toward meeting the needs of state higher education institutions, vocational schools, and general educational institutions,” he added.