EY Armenia Tax Alert | 2024 annual personal income tax declaration, September 2024

Facts

Effective from 2023, the Republic of Armenia (“RA”) introduced a requirement for certain resident citizens of RA to file an annual personal income tax declaration (“declaration”) with the Armenian tax authority.

Expanding in 2024, this requirement will broaden to encompass additional categories of resident citizens. Those who fall under this requirement must file the declarations and make the arising tax payments by the inclusive deadline of May 1, 2025.

The full list of resident citizens subject to this requirement for 2024 is presented below.

Who’s affected?

• Resident citizens of the RA who were considered employees during 2024 and were not subject to this requirement in 2023,

• Resident citizens of the RA who received taxable income through civil law contracts during 2024 and were not subject to this requirement in 2023,

• Citizens of the RA who as of 31 December 2024 hold positions of state service, community service and/or public service, as defined by the RA Law on Public Service,

• Resident citizens of the RA who as of 31 December 2024 are (were) participants (shareholders, equity holders or members) of a resident commercial entity that has declared a gross income of AMD1 billion or more for 2023,

• Resident citizens of the RA who are classified as “beneficial owners” within the framework of the RA Law on Combating Money Laundering and Terrorism Financing, i.e., individuals who:

a. own, directly or indirectly, 20% or more of the voting shares (stocks or units) of the given legal entity or hold, directly or indirectly, 20% or more ownership share in the charter capital of such legal entity,

b. exercise real (actual) control over such legal entity by other means,

c. are official persons carrying out general or daily management of such legal entity’s activity if no individual meets the requirements of clauses a and b above,

• Resident citizens of the RA who received a borrowing of AMD20 million or more during 2024.

• Resident citizens of the RA who were subject to this requirement in 2023.

How EY can help?

• Assisting with analyzing whether the resident citizens of the RA are required to file the declaration for 2024;

• Providing advisory services on the tax implications of various transactions;

• Assisting with the preparation and filing of the declaration with the Armenian tax authority. 

Contacts

For additional information, please contact:

Kamo Karapetyan | Partner | Head of Tax Practice at EY in Armenia
EY Armenia
Vazgen Sargsyan 2, Kamar Business Center, 0010, Yerevan, Armenia
Office: +374 (60) 50 7777
Mobile: +374 (99) 88 67 00
Kamo.Karapetyan@am.ey.com

Mikayel Arzumanyan | Manager | Tax & Law
EY Armenia
Vazgen Sargsyan 2, Kamar Business Center, 0010, Yerevan, Armenia
Office: +374 (60) 50 7777
Mobile: +374 (44) 80 80 05
Mikayel.Arzumanyan@am.ey.com