Title: Tax Authority Clarifies New VAT Procedure, Denies Widespread Transaction Tax Rumors
In a firm response to recent online speculation, the Iranian National Tax Administration has categorically denied rumors of a new tax on everyday card transactions, assuring the public that no such levy has been introduced.
Official Denial of “False Rumors”
Movahed Bak Nazar, the spokesperson for the Iranian National Tax Administration, addressed the public concern directly. “Unfortunately, in recent days, we have witnessed the spread of rumors in the virtual space claiming that a tax will supposedly be taken from purchases made with POS devices,” he stated. “At the outset, it is necessary to strongly deny this rumor; fundamentally, there is no plan for any new tax in this area.”
Explaining the Policy Shift
The official clarified that the confusion stems from a new directive affecting a specific sector. He explained that the policy pertains to the method of paying the existing Value-Added Tax (VAT). According to the spokesperson, starting from the Iranian date of Dey 1, 1404, certain economic actors in the food and catering sector—primarily high-end and luxury restaurants—are now obligated to settle their 8% VAT provisionally at the same moment they issue an electronic invoice to the customer.
A Change in Timing, Not a New Tax
Spokesman Movahed Bak Nazar emphasized that this is a procedural update, not a new financial burden. “The same tax that was supposed to be paid after three months is now being paid at the same time as the sale and the issuance of the invoice to the buyer,” he said. He stressed that this ensures timely payment and streamlines the process.
This “pay-as-you-sell” model, he noted, is not unprecedented and has already been successfully implemented for other sectors, including notary publics and home theater platforms.
Scope Limited to Specific Establishments
Crucially, the administration highlighted the very limited scope of this procedural change. The official confirmed that currently, approximately one hundred high-revenue, luxury restaurants, mainly in northern Tehran, are affected. He reassured the public that “no new tax will be suddenly added to everyday purchases,” and the only change involves the modernization of the VAT payment process for this specific group.
In his concluding remarks, the spokesperson reiterated the core message: “Collecting any tax from POS devices is a falsehood. It has only been stipulated that around 100 luxury restaurants must deposit the VAT they currently collect from the people online and simultaneously with the transaction into the treasury.”