Gela Mtivlishvili, Kakheti
More than 500 retired people could not receive their pensions in March and April. About 100 families remained without social allowances too. The Revenue Department automatically cut off the money from the pensions of the retired people and allowances of socially disabled families and transferred it to the budget. A leader of the political party the New Rights Davit Saganelidze thinks the tax institutions shall not be authorized to impose encashment on pensions and allowances and cut off sums from them. The political party requests introduction of amendments to the Tax Code.
77-year-old Anzor Nozadze lives in a small town of Tsnori in Sighnaghi district together with his retired wife. He said he was transporting cargo by his own car in 1999 and took a certificate of the individual entrepreneur for the purpose. “While I had the car I paid the tax as an entrepreneur but in 2000 I sold the car and returned my certificate back. However, they have accumulated tax arrears on me and imposed fine for not having paid the taxes. I did not know about it for 10 years. Short time ago, they refused to give my pension and I inquired the reason – they said I have debt of 6 4000 GEL to the state budget and encashment was imposed on my pension. Neither my wife received pension; it was our only income,” said Anzor Nozadze.
The Revenue Department imposed the encashment on the social allowance of the Mtivlishvilis’ large family in Gurjaani who have six children. “I could not get allowance at the bank. They said the Tax Department imposed encashment on it. I have 6 children. At the moment my grandchildren live with me too. The only income for our family was that allowance. We cannot buy even wheat flour now,” said the mother of six children.
In 2007 she made a Georgian bakery in her neighbor’s yard, baked bread tere and then sold them to earn money. The Tax Inspection fined her for not having cash-machine. “Nobody requested me to pay the fine for four years,” said the mother of six children.
After the information was spread on similar facts, the Revenue Department clarified that encashment was removed from pensioners and socially disabled families. However, the retired people and socially disabled families said the Revenue Department had already transferred their pensions and allowances for March and April to the state budget before the encashment was canceled
Davit Saganelidze from the New Rights held a press-conference on this problem.
“Last week, sums from the pensions and allowances were massively transferred to the state budget from the Liberty Bank to cover the tax arrears. The procedures were carried out according to the Article 238 and 243 of the Chapter 35 of the Georgian Tax Code which allows the tax department to cut off sums from all accounts except deposits. As a result of this operation, several hundred pensioners will remain without their only income throughout the year. Although, similar operation was canceled for 533 pensioners in Kakheti region, the retired people still face the danger of remaining without pensions in Kakheti and other regions of Georgia,” said Saganelidze.
Resident of Magharo village in Sighnaghi district Jora Jebirashvili also attended the press-conference. He said he was initially fined with 500 GEL and then with 5 000 GEL for not having cash-machine as an entrepreneur. He said he could not pay the tax because daily turnover in his shop was only 60 GEL. Because of the accumulated 5 500 GEL, his plot of land and pension are sequestered by the Tax Inspection; the plot is assigned to the execution bureau to sell at the auction.
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