Microbusinesses to be exempt from taxes, says Pashinyan

Microbusinesses will be exempt from taxes in Armenia. In case of having up to three employees in that business, there will be another, mild regime for income tax, acting Prime Minister Nikol Pashinyan said during the debate of the 2019 state budget draft in the Parliament on November 13.

“In the context of the budget, a key task for work promotion is to define a new concept of “microbusiness”. It will be exempt from all taxes. All those who will carry out their activity within 20-24 million AMD, will not pay a tax. Of course, there will be some restrictions linked with the fields.

There will also be a problem of zoning. With this policy we will try to promote the economic activity especially in the provinces”, Pashinyan said. “We open the opportunities so that you can earn your money for your family thanks to a dignified work”.

The acting PM also attached a great importance to the fact that in case of having up to three employees in the microbusiness, there will be a different regime for the income tax. They will not be taxed at a rate of 23% of the salary, but can solve the problem of income tax with the fixed payment of 5000 AMD. According to Pashinyan, this will enable to have more beneficial conditions.