Improving Laws on Value-Added Taxation in the Context of Islamic Tradition (Experience of the Republic of Iran)

The article discusses the issues of introducing VAT regulation into the tax legislation of the Islamic Republic of Iran. The following are noted as distinctive features of the Iranian VAT: (1) the influence of the traditional legal system operating on the basis of Islamic values on the improvement of the legal regulation of VAT; (2) the lowest basic tax rate of 1.5% in the history of world value added taxation, applied at the initial stage of its introduction into the national tax system; (3) a long period of progressive development of the legal regulation of VAT: from the first draft law in 1987 to the adoption of an indefinite VAT law in 2021.