The organization “Young Barristers” addresses to the Government and Parliament of Georgia with recommendational proposal to assess objectively the need for a one-time tax amnesty in the country and adopt "Amnesty and Non-declared Tax Obligations and Property Legalization" law again, which allows the business entities to exempt from covered taxes and legalization of undeclared property and finances.

According to statement of lawyer of the “Young Barristers” – Levan Beradze, the state must consider in the context of the restoration of justice the possible one-time tax amnesty, as during the 2004-2012 governance period, there has been an open as well as secret interference in free business activities. According to the official statistics requested from the Ministry of Internal Affairs of Georgia, for business and economic crime, in 2005, criminal proceedings were initiated against 646 persons, in 2006 year – 684, 2007 year – 191, 2008 year – 64, 2009 year – 87, 2010 year – 294,  2011 year - 327, 2012 year - 99, 2013 year -70 and for 6 months data of 2014 year – towards 27 persons, while according to the Office of the Main Prosecutor in the field of business and economic crimes, 279 people were charged in 2010, 2011 year - 342, 2012 year - 164, 2013 year – 182 and for 6 months data of 2014 year – 81 persons. 

The organization estimates that during 2005-2014 years, the criminal prosecution statistics of the economic offenses liable by articles 190-207 of the Criminal Code are low, as a single act of amnesty approved by the Parliament in 2004, showed that 11,664,302 worth of GEL property has been declared, when making this law, the state had hoped that the declaration would be on 2 billion worth of property. Consequently, 2005-2014 years statistics have shown that economic crimes still exists, however, taking into consideration the specificity and complexity of the crime, it must be assumed that the present economic nature of the crime is still a hidden scope and unofficial crime statistics is much higher.

According to statement of the “Young Barristers”, if the state considers the issue of amnesty, it is important to focus on the correct ratio of the amnesty declared expectations of  24 December 2004 and results analysis. In our opinion, the tax amnesty should be extended to all entrepreneurs, to whom the enactment of the law has not recognized a tax debt. Criminal cases should be stopped and dismiss the people from punishment who committed the business crime until December 31, 2012. In addition, the organization notes that the prior announced amnesty might have negative results, as it may encourage crime for a potential offender hoping that the amnesty will release from criminal responsibility. It would be reasonable to declare amnesty, if it concerns the concret period. Accordingly, the amnesty should declare for crimes until the December 31, 2012, which would not allow citizens, commit a new crime hoping for amnesty.

For more information: The government announced a tax amnesty on December 24, 2004 and adopted "Amnesty and Non-declared Tax Obligations and Property Legalization" law.