Unknown Identity Rental Business Cards Have an 8 Trillion Tomans Tax Debt

A member of the Economic Commission of the Parliament states that the 'unknown identity rental business cards' have a tax debt of 8 trillion tomans that is 'uncollectible.' According to a report on Tuesday, October 26, by Fars News Agency, Mohammad Reza Pourabrahimi made this statement at a press conference of the Government and Private Sector Dialogue Council held at the Iran Chamber of Commerce. Mr. Pourabrahimi introduced the 'unknown identity rental business cards' as cards for which 'the identity of individuals for tax collection is not specified.' This parliament member also stated, 'Some owners of business cards have created problems for the country's economy,' and the issue of reconsidering the issuance of these cards is on the agenda of the Economic Commission of the Parliament. According to media reports and some officials, business cards have recently become one of the channels for importing goods without paying customs duties or smuggling in Iran. On February 9, 2016, the Iranian Customs published a report showing that 600 luxury cars were imported into the country in the name of a rural woman. The Iranian Customs explicitly stated in its report that 'some individuals use disposable and rental business cards to avoid paying customs duties and taxes and engage in trade.' The report indicated that several of these individuals had been identified by customs with the help of the comprehensive customs system, having imported goods worth over 100 million dollars into the country. Fars News Agency also reported on October 10 of the same year that 'one of the widespread negative phenomena in the economy in recent years relates to abuse, forgery, and violations using business cards.' According to this news agency, these cards are 'disposable so that importers of goods are not identifiable and traceable for paying customs duties and taxes.' Previously, the director-general of tax affairs in Kurdistan reported the issuance of 200 billion tomans in taxes for 200 business cards, whose original owners do not even have a million tomans in income. Reports indicate that following the issuance of these business cards, 'the number of tax debtors has increased in border areas.' These cards are issued by the Chamber of Commerce and Industries and Mines and are approved by the Trade Organization of each province, with their validity ranging from one to five years at the discretion of the applicant. Using the business card of other individuals for tax evasion is considered a crime under Article 274 of the amendment to the Direct Taxation Law, which may result in penalties such as flogging, deprivation of social rights, and prohibition from one or more occupational or social activities.