Ali Askari, the head of the Tax Affairs Organization, said on Sunday, March 1, that 'about 20 to 25 percent of the gross domestic product is evading taxes,' which amounts to 'one thousand trillion tomans from the country's gross domestic product.' Ahmad Alavi, an economist, in an interview with Mir-Ali Hosseini, considers the lack of transparency in military, economic, and ideological institutions under the leadership as one of the reasons for tax evasion in Iran. According to this economist, the average tax level relative to gross domestic product in countries worldwide is about 17 percent, while this figure in Iran is less than 7 percent. This economist believes that the low tax payment rate and the undemocratic nature of the political system are directly related.
Why Iranians Pay Less Taxes
Ali Askari highlighted significant tax evasion in Iran, estimating that 20-25% of GDP is unaccounted for. Economist Ahmad Alavi attributes this issue to a lack of transparency in key institutions and suggests a direct correlation between low tax rates and the undemocratic political system. This situation raises concerns about fiscal responsibility and governance in Iran.
👥 Key Players
📰 What Happened
Ali Askari revealed that a significant portion of Iran's GDP is evading taxes, estimating it at 20-25%. Economist Ahmad Alavi attributes this to a lack of transparency in key institutions and the undemocratic nature of the political system.
- Tax evasion in Iran is estimated to account for 1,000 trillion tomans.
- The average tax level in Iran is less than 7%, compared to about 17% globally.
💡 Why It Matters
📚 Background
Iran has a complex political system where transparency is often lacking, contributing to economic challenges such as tax evasion.
🏷️ Entities Mentioned
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