An Investigation on challenges and obstacles for implementation of valueAdded Tax (VAT) Law in lran(A Case study of Gold and Jewelry bussiness activists)

Value Added Tax (VAT) law is one of the important economic laws in Iran. After design and approval of VAT law in Iran’s parliament, it has been implemented since October 2009. However, from oneset of such tax law, some challenges, disputes and concerns arised by economic agents and activists. Finally, such events and other similar cases would lead to a change in enforcement of the VAT act. Hypotheses investigated in this paper are as follows. 1. Lack of facilities and poor law-executive infrastructure of lran’s economy have been main obstacles for a full implementation of the value added tax law in relation to trade unions and businesses. 2. Lack of attention to certain exchange transactions of goods and services with special features such as Gold and jewelry has led to non-compliance behavior of some activists with respect to execution of the VAT law. 3. Lack of adequate training of taxpayers and economic activists poor information about executive details of the VAT act has resulted to some resistances against implementation of the VAT act.