Economy experts warning on government tax evasion strategy

According to Arben Malaj, from the Institute of Public Politics and Welfare, the government strategy concentrating in penalizing tax evaders, sounds more like an action and not a reform, and will not produce the desired results.

Another expert, Zef Preçi, from the Albanian Center for Economic Research, says that these actions risk hurting only small businesses which struggle to survive and cannot inflict damage to what he refers as the oligarchs of the economy. The biggest evaders according to him are local and foreign corporations, who find a way through their political connections to make illegal profits by smuggling and artificial increasing of expenses.

Analysts say that prior to these actions, the government should have improved the legal framework and its institutions. And by doing so, the scale of actions would be totally different, with pressure being the last one. Otherwise, economical costs for the Albanian economy could be very high.

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