Armenia Tax Administration Modernization Project

closed

Closed

The development objective of the Tax Administration Modernization Project for Armenia is to modernize Armenia's tax administration in order to (i) increase voluntary tax compliance, (ii) reduce tax evasion, (iii) reduce compliance costs; and (iv) increase administrative efficiency. There are four components to the project. The first component is institutional development. Institutional development will strengthen Ministry of Finance (MOF) capacity to formulate tax policy and enable the State Revenue Commission (SRC) to develop and implement clear strategic planning, augment organizational management capacity, and optimize field structure of tax inspectorates to increase efficiency. Further training will be strengthened by enhancing the capacity of the tax training institute with modern training facilities, curriculum design and regular courses for new recruit and mid-career officials. The second component is strengthened operations. Strengthened compliance management is considered to be the cornerstone of an efficient tax administration. This component would aim to implement the re-engineering of business processes in order to make the self assessment system work more effectively, automate routine processing of returns and calculation of taxes, introduce an automated risk management system, strengthen analytical capacity for determining risks, augment skills in audit (especially of large taxpayers), enhance staff capacity for detection of tax frauds, improve taxpayer services, and develop an independent tax appeals structure. The third component is Information Technology (IT) infrastructure and system modernization. This component will upgrade the Information and Communications Technology (ICT) in the SRC in order to develop a comprehensive and integrated tax management system. This component will unify IT support for all business functions, improve telecommunications and connectivity, strengthen information exchange with other agencies and augment other technological infrastructure necessary to create an efficient and effective environment for tax operations and management. It will also significantly improve reliability and availability of information and business intelligence, making full use of data management tools (data mining, data warehousing and data exchange facilities). The fourth component is project management. This component will strengthen the borrower's capacity to enhance timely and quality project implementation in accordance with the World Bank guidelines. This includes financing of several national consultants to support procurement, financial management and technical implementation of the other three components. The component will also finance operating costs, associated with the implementation of the project. This component will be fully financed by International Development Association (IDA) credit.

FY17 - Public Administration

World Bank Group

Project

Warehouse, Forest Products and Packaging, Government