Armenia

AM AMD֏ Armenian
Pros
Competitive flat income tax rate and significant tax exemptions for micro-businesses and IT startups.
High safety standards and low violent crime rates providing a secure environment for residents.
Minimal state interference in digital sectors and simplified registration processes for foreign entrepreneurs.
Cons
Significant geopolitical risks and regional instability impacting long-term investment security and infrastructure development.
Landlocked status and closed borders with Turkey and Azerbaijan restricting physical trade and logistics.
Residual bureaucratic hurdles and slow judicial processes despite ongoing efforts to reduce systemic corruption.

Long story short: Setting up a company in Armenia takes a morning: the taxman leaves you alone, especially if you launch a tech startup, exempt from corporate tax for several years.

The catch: banks get jittery over the flood of Russian money, international transfers are getting trickier, and the country lives under the constant threat of a new war with Azerbaijan.

Besides that: Yerevan feels safe, infrastructure is decent but crumbles fast outside the capital, food and wine are excellent, and the mountain scenery is worth the trip.

VERYLOW TAX 5/10 HOLDING 5.6/10 DIVIDENDPIPELINE 6.3/10 CRYPTOHAVEN 2/10 PRIVACYGRADE 3.6/10

Will your income be taxed?

Long story short: YES, FAIRLY.
Income tax in Armenia sits at a middling 20%.

Residency follows the standard international playbook (day counts, economic ties, habitual abode), so if you actually live here, you pay the full menu. No more, no less.

01.1 Income tax
Personal income tax
20%
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De quoi s’agit-il ?What residents pay on what they earn: salary, freelance income, sometimes dividends too. We show the system (flat or progressive) and the top rate.
Source et informations complémentairesflat rate
01.2 Tax residence test
A single active rule is enough to make you tax-resident.
183-day rule
Economic interest
Family centre
Habitual abode
does not exist here
Extended-stay test
does not exist here
Income tax simulatori

If you earn a year, you will pay .

Roughly effective, with a marginal rate of .

Will your wealth be taxed?

Long story short: NO.
Armenia keeps its hands off what you hold. No capital gains tax, no annual wealth grab, no inheritance regime.

Your portfolio compounds in peace and leaves the way it came in; nobody's standing at the door with their palm out.

02.1 Investment income
Capital gains
NONE
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De quoi s’agit-il ?The tax on your profit when you sell something that gained value: stocks, property, crypto, a business. Some countries skip it entirely.
Source et informations complémentairesflat
Dividend tax
5%
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De quoi s’agit-il ?What you pay when your company sends you dividends. It stacks on top of corporate tax, so the combined bill is what really counts.
Source et informations complémentairesflat
Interest income
20%
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De quoi s’agit-il ?The tax on income from savings, bonds and loans. Matters when choosing where to park your cash.
Source et informations complémentairesflat
02.2 Wealth & estate
Wealth tax
NONE
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De quoi s’agit-il ?A yearly tax on what you own above a threshold, whether you sell or not. Most countries scrapped it; a few still run one.
Source et informations complémentairesno annual wealth tax · no real-estate wealth tax · no net-worth assessment
Inheritance system
NONE
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De quoi s’agit-il ?What heirs pay on what they inherit, by category (spouse, children, others), with allowances and top rates. Plenty of countries charge nothing at all.
Source et informations complémentairesno estate tax · no heir-based duties · no succession tax framework. Wealth transfers across heir-classes are not taxed in this jurisdiction. Only standard probate / registration fees may apply.
02.3 Crypto
Crypto · tax regime
UNREGULATED
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De quoi s’agit-il ?How crypto gains are taxed here: zero, flat, progressive or grey zone. Includes whether crypto-to-crypto swaps count as taxable events.
Source et informations complémentairesFallback rate: 0% · Under Article 147 of the Armenian Tax Code, income from the alienation of personal property is generally exempt from income tax for individuals. While the government approved a draft law 'On Digital Assets' in February 2024 to regulate the sector, the current fallback relies on this property exemption. Professional trading is treated as business activity subject to the standard flat income tax rate.
Crypto-to-crypto
NEUTRAL
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De quoi s’agit-il ?How crypto gains are taxed here: zero, flat, progressive or grey zone. Includes whether crypto-to-crypto swaps count as taxable events.
Source et informations complémentairesa swap is not a taxable realisation event
FATF travel rule
NOT SIGNED
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De quoi s’agit-il ?Does this country enforce the crypto Travel Rule? If yes, exchanges must identify senders and recipients, like banks do for wire transfers.
Source et informations complémentairesno information-sharing obligation on VASP transfers

Easy to run a company there?

Long story short: YES, BUT TAXED.
Corporate tax in Armenia lands at a moderate 18%, no IP-box to soften it. Standard accounting, VAT at 20, the usual dose of paperwork. Nothing to celebrate, nothing to flee.

03.1 Rates
Corporate tax
18%
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De quoi s’agit-il ?What companies pay on their profits. The headline rate is a starting point: IP boxes and holding regimes often pull the real rate lower.
Source et informations complémentairesflat
VAT standard rate
20%
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De quoi s’agit-il ?The sales tax baked into almost everything you buy here. One standard rate, plus reduced rates on things like food or books.
Source et informations complémentairessingle rate · no reduced tiers
20%
Digital & telecom
20%
digital
03.2 Regime & registry
IP Box · Patent Box
NONE
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De quoi s’agit-il ?A discounted tax rate on income from patents, software and designs, often 5 to 10%. A magnet for tech and licensing businesses.
Source et informations complémentairesno IP regime · IP income taxed under standard corporate rules
Misuse of corporate assets
NO CRIMINAL
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De quoi s’agit-il ?If you spend company money on yourself, is it a crime (prison possible) or a civil matter? Some countries prosecute even sole shareholders.
Source et informations complémentairesno criminal liability · In Armenia, the misuse of corporate assets by a sole shareholder-director of a solvent company is not a criminal offense. While the Criminal Code contains provisions for 'Abuse of powers by an employee of a commercial organization' (Article 277) and 'Embezzlement or waste' (Article 256), these require 'significant damage' to the rights or lawful interests of others or the state. In a scenario where the sole owner consents to the use of funds and the company remains solvent, there is no 'victim' or 'harm to third-party interests' to trigger criminal prosecution. Such acts are instead treated as tax violations (e.g., undeclared dividends) or civil matters that may lead to the 'piercing of the corporate veil' to hold the owner personally liable for company debts.
Shareholders privacy
PUBLIC PAYWALL
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De quoi s’agit-il ?How visible a company's shareholders and directors are: free public registry, paywalled, restricted or fully private. More privacy, but sometimes warier banks.
Source et informations complémentairesState Register of Legal Entities of the Republic of Armenia
Directors privacy
PUBLIC PAYWALL
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De quoi s’agit-il ?How visible a company's shareholders and directors are: free public registry, paywalled, restricted or fully private. More privacy, but sometimes warier banks.
Source et informations complémentairesState Register of Legal Entities of the Republic of Armenia
03.3 Incorporation cost
In this country, the most standard company form is called Սահմանափակ պատասխանատվությամբ ընկերություն (ՍՊԸ) (Limited Liability Company (LLC)). The costs below are for incorporating a company in its simplest form, for reference only.
State Registration Fee (LLC)
USD 0
Professional Incorporation Service Fee (Foreigner Package)
USD 1,280
Notarized Translation of Passports and Documents
USD 213
Total
USD 1,493

A good fit for a holding?

Long story short: NO.
Armenia has no treaty network at all, which buries the holding question, full stop.

Every dividend in or out eats the statutory withholding at full rate, and no domestic regime can patch a hole that sits on the source side. Don't park a holding here.

04.1 Substance & exemptions
Territorial · individuals
WORLDWIDE
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De quoi s’agit-il ?Does this country tax only local income (territorial) or everything you earn worldwide? Territorial means your foreign income stays untaxed here. Huge.
Source et informations complémentairesworldwide income taxation regardless of source
Territorial · corporates
WORLDWIDE
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Source et informations complémentairesworldwide corporate taxation
Participation exemption
100%
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De quoi s’agit-il ?Can a holding company receive dividends from its subsidiaries tax-free? The cornerstone of any serious holding structure.
Source et informations complémentairesno minimum threshold · no holding period
CFC rules
NONE
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De quoi s’agit-il ?Anti-offshore rules: they tax you at home on your foreign company's profits, even if nothing was distributed. Where they exist, offshore setups get tricky.
Source et informations complémentairesno controlled foreign corporation regime · foreign-source corporate income out of scope
04.2 Withholding tax · non-resident
WHT · dividends
5%
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De quoi s’agit-il ?The cut this country takes when it sends dividends, interest or royalties abroad. Tax treaties can shrink it; blacklists can inflate it.
Source et informations complémentairesnon-resident outbound
WHT · interest
10%
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Source et informations complémentairesnon-resident outbound
WHT · royalties
10%
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Source et informations complémentairesnon-resident outbound
Tax-haven WHT
5%
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Source et informations complémentairespenalty rate · blacklisted destinations
04.3 Treaty network
Treaties signed
0
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De quoi s’agit-il ?Deals with other countries to avoid double taxation and cut withholding taxes. The bigger the network, the easier your money moves across borders.
Source et informations complémentairesactive
Treaties pending
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Source et informations complémentairesin negotiation
Tax treaty network
origin · AM 0% > 0% no treaty
Inspect a country
Hover any country on the map to read its withholding-tax treaty with AM.
Country Status Dividends Interest Royalties
// no treaties match

Easy to come and go?

Long story short: SOME.
Armenia taxes your worldwide income while you're resident, but at least the exit is free: no exit tax on the way out.

Leaving costs you paperwork, not money; your unrealised gains walk out the door with you, untouched.

05.1 Exit & dual nationality
Exit tax
NONE
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De quoi s’agit-il ?What the country charges you for leaving: tax on your unrealized gains, as if you'd sold everything at the border. Here you'll see if it exists and when it triggers.
Source et informations complémentairesno triggers active · residence change tax-free · no deemed-disposal mechanism
Dual citizenship
ALLOWED
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Source et informations complémentairesnaturalised citizens may keep their existing nationality
05.2 Citizenship paths
Residence
3 years
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Source et informations complémentairesavailable path to naturalisation
Marriage
2 years
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Source et informations complémentairesavailable path to naturalisation
Birth
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Source et informations complémentairesnot available
Descent
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Source et informations complémentairesnot available
Investment
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Source et informations complémentairesnot available

Is your money watched?

Long story short: YES, CLOSELY.
Armenia signed every exchange framework that matters and runs a public corporate registry. Whatever you do here (earn, hold, structure) is reported, searchable, or both.

Your money is watched from every angle; if discretion is part of your plan, this isn't your jurisdiction.

Multilateral reporting frameworks 4/9 active · 3 pending
CRS
2025
CARF
FATCA
2014
MLI
2023
BEPS
MAAC
2020
GLOBAL FORUM
EOIR
CRYPTO TRAVEL RULE

Is it blacklisted?

Long story short: NO.
Armenia sits on no major blacklist, though it's outside the FATF club.

Some counterparties will run a bit of extra due diligence out of habit, but there's no formal stigma: you won't get hassled for dealing with it.

Blacklist exposure Clear everywhere
EMBARGO
un / us / eu sanctions
FATF
grey / black list
EU
non-cooperative list
FRANCE
ETNC list
SPAIN
tax-haven list
PORTUGAL
favourable regimes
BRAZIL
low-tax list

Do you feel free there?

Long story short: PARTLY.
Armenia sits in the middle band of the RSF press-freedom index (rank #34): civil society functions, but the walls are real and you'll learn fast where they stand.

Crypto lives in the standard regulated tier.

08.1 Press freedom
Press freedom · RSF index
34/180
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De quoi s’agit-il ?The RSF world ranking of press freedom. A good proxy for censorship and civil liberties. The lower the rank, the freer the press.
Source et informations complémentairesscore 73 · ↑ 9 ranks year-on-year
Central bank digital currencyi
Program Status Cross-border Sources
Armenia CBDC
Central Bank of Armenia
RESEARCH

Connected to the world?

Long story short: POORLY CONNECTED.
The two rails that matter are both dead in Armenia. Stripe won't onboard you, so card payments mean a foreign structure or a local processor with its own rules. Amazon doesn't deliver either.

Some secondary services run (5/11), but for an online business this is swimming against the current.

Accept payments 3/6 available
Stripe
card payments
PayPal
wallet payments
Adyen
enterprise psp
Mollie
eu payments
GoCardless
direct debit
Paddle
merchant of record
Bank and move money 1/3 available
Wise
multi-currency
Revolut
personal banking
Revolut Business
business banking
Buy and sell on Amazon 1/2 available
Amazon
consumer delivery
Amazon Seller
marketplace selling
SEE ALSO

Other jurisdictions worth comparing

Picked by similarity of strategic profile to Armenia. No editorial ranking — neighbours in the same scoring space.

PROFILE-ADJACENT Same shape, comparable overall friction.
NOTABLY MORE FAVORABLE Same family of strategies, higher total score.
NOTABLY LESS FAVORABLE Same family of strategies, lower total score.