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. |
Personal income
20%
flat
Corporate
18%
flat
Capital gains
10%
flat
VAT (standard)
20%
standard rate
i
6.3
DIVIDEND PIPELINE
i
6
VERY LOW TAX
i
5.6
HOLDING
i
3.6
PRIVACY GRADE
i
2
CRYPTO HAVEN
i
2
EASY CITIZENSHIP
─ On this page
01
Will Armenia tax what you earn?
02
Will Armenia tax what you own?
03
Is it easy to run a company in Armenia?
04
Is Armenia good for your holding company?
05
What does it cost to come and go from Armenia?
06
Will Armenia protect your privacy?
07
Is Armenia itself a liability?
08
Will you feel free in Armenia?
01/08
Will Armenia tax what you earn?
●income tax
●tax residency
●territorial system
YES, FAIRLY. Personal income tax in Armenia sits at an intermediate 20%. Residency follows the standard international pattern (day-count, economic interest, habitual abode), so anyone who actually lives here pays the full schedule.
Personal income taxi
20%
flat rate
Income simulatori
Income
Tax due
Effective rate
all-in
Marginal rate
+10%
Income from royalties
+10%
Income from lease of property
+5%
Dividends received by residents and non-residents (from income generated after 1 January 2020 for foreigners, after 1 January 2018 for citizens)
Tax residence testi
∅no day count
●
183-day rule
●
Economic interest
○
Family centre
○
Habitual abode
○
Extended-stay test
●
Just one rule above is enough to make you tax-resident here.
02/08
Will Armenia tax what you own?
●capital gains
●wealth tax
●inheritance
●dividends
●interest
YES, BUT LIGHTLY. Armenia taxes capital gains lightly (10% at the top), with no annual wealth charge and no inheritance regime. A held portfolio compounds with minimal friction; the state only shows up at disposal.
Capital gainsi
10%
flat · +10% If income from lease of property exceeds AMD 60 million during the tax year, an additional 10% income tax is applied in addition to the tax withheld by the tax agent.
Dividend taxi
5%
flat
Interest incomei
20%
flat
Wealth taxi
NONE
no annual wealth tax · no real-estate wealth tax · no net-worth assessment
Crypto · tax regimei
Regime
UNREGULATED
Fallback 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-cryptoi
NEUTRAL
a swap is not a taxable realisation event
FATF travel rulei
NOT SIGNED
no information-sharing obligation on VASP transfers
Inheritance systemi
NONE
no 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.
03/08
Is it easy to run a company in Armenia?
●corporate tax
●criminal liability
●public registry
●VAT
●IP box
YES, BUT TAXED. Corporate tax in Armenia lands at a moderate 18% with no IP-box softening. Standard accounting, VAT at 20, standard administrative weight. Nothing exotic in either direction.
Corporate taxi
18%
flat · +0% Investment funds (excluding pension funds and warranty funds) and securitisation foundations registered in Armenia · +5% Resident companies implementing special construction projects exclusively outside Armenia and approved by the government
IP Box · Patent Boxi
NONE
no IP regime · IP income taxed under standard corporate rules
Misuse of corporate assetsi
NO CRIMINAL LIABILITY
Civil Matter / Breach of Fiduciary Duty
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 privacyi
PUBLIC PAYWALL
State Register of Legal Entities of the Republic of Armenia
Directors privacyi
PUBLIC PAYWALL
State Register of Legal Entities of the Republic of Armenia
Incorporation costi
Limited Liability Company (LLC)
Սահմանափակ պատասխանատվությամբ ընկերություն (ՍՊԸ)
State Registration Fee (LLC)
USD 0
Professional Incorporation Service Fee (Foreigner Package)
USD 1,271
Notarized Translation of Passports and Documents
USD 212
Total
USD 1,482
VAT standard ratei
20%
single rate · no reduced tiers
20%
Food & drink
20%
food
20%
non-alcoholic
20%
alcohol
Print media
20%
books
20%
ebooks
20%
newspapers
Culture
20%
cultural events
20%
cinema
20%
theatre
20%
museums
20%
sports
Transport
20%
public transit
20%
rail
20%
air
Hospitality
20%
hotels
20%
restaurants
20%
takeaway
Health
20%
pharma
20%
medical dev.
Energy
20%
electricity
20%
natural gas
20%
district heat.
20%
domestic fuel
Utilities
20%
water
20%
waste
Clothing
20%
kids clothing
Digital & telecom
20%
digital
20%
telecom
20%
broadcast
Construction
20%
construction
20%
social housing
Agriculture
20%
farm inputs
20%
animal feed
Personal services
20%
funeral
20%
hairdressing
04/08
Is Armenia good for your holding company?
●treaty network
●participation exemption
●withholding
NO. Armenia doesn't carry a treaty network, which makes it unsuitable as a holding jurisdiction. Any dividend flowing in or out faces full statutory withholding, and no domestic participation exemption can compensate for missing relief on the source side.
Territorial systemi
Individuals
WORLDWIDE
Corporates
WORLDWIDE
Individuals: worldwide income taxation regardless of source.
Corporates: worldwide.
Participation exemptioni
100%
no minimum threshold · no holding period
CFC rulesi
NONE
no controlled foreign corporation regime · foreign-source corporate income out of scope
WHT · dividendsi
5%
non-resident outbound
WHT · interest
10%
non-resident outbound
WHT · royalties
10%
non-resident outbound
Tax-haven WHT
—
no punitive rate on record
Treaties signedi
0
active
Treaties pending
—
in negotiation
Tax treaty networki
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 |
|---|---|---|---|---|
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| ∅ // no treaties match | ||||
05/08
What does it cost to come and go from Armenia?
●exit tax
●territorial system
●dual citizenship
SOME. Armenia taxes worldwide income while you're resident, but there's no exit tax on the way out. The cost of leaving is mostly paperwork: unrealised gains follow you to the next jurisdiction untouched.
Exit taxi
NONE
no triggers active · residence change tax-free · no deemed-disposal mechanism
Dual citizenship
ALLOWED
naturalised citizens may keep their existing nationality
Citizenship paths
●
Residence
●
Marriage
○
Birth
○
Descent
○
Investment
06/08
Will Armenia protect your privacy?
●info exchange
●corporate registries
NOT AT ALL. Armenia has signed every exchange framework that matters and operates a public corporate registry. Whatever you do here (earn, hold, structure) is reportable, accessible, or both. Privacy is not the strategy in this jurisdiction.
Multilateral reporting frameworks
4/10 active
· 3 pending
CRS
2025
CARF
—
FATCA
2014
MLI
2023
BEPS
—
MAAC
2020
GLOBAL FORUM
—
EOIR
—
CRYPTO-CARF
—
CRYPTO TRAVEL RULE
—
07/08
Is Armenia itself a liability?
●blacklists
●FATF standing
NO. Armenia carries no entries on any major blacklist, though it sits outside FATF membership. Counterparties may apply light extra due diligence, but no formal stigma attaches to dealing with it.
Blacklist exposure
Clear everywhere
FATF
grey / black list
EU
non-cooperative list
FRANCE
ETNC list
SPAIN
tax-haven list
PORTUGAL
favourable regimes
BRAZIL
low-tax list
08/08
Will you feel free in Armenia?
●press freedom
●crypto
●CBDC
●EU
PARTLY. Armenia scores in the middle band of the RSF press-freedom index (rank #34): civil society operates but the boundaries are real. Crypto sits in the standard regulated tier.
Press freedom · RSF indexi
34/180
score 73 · ↑ 9 ranks year-on-year
Central bank digital currencyi
| Program | Status | Cross-border | Sources |
|---|---|---|---|
|
Armenia CBDC
Central Bank of Armenia
|
RESEARCH | — | announce → |
SEE ALSO
Other jurisdictions worth comparing
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