Tax · Updated June 2026
Armenia tax guide for foreign-owned companies
The taxes that actually apply to an Armenian LLC — rates, thresholds, filing duties and the incentives worth knowing about.
Armenia’s tax system is one of its biggest selling points: a moderate flat corporate rate, a high VAT threshold, and real incentives for tech. Here’s what a foreign-owned company needs to plan for.
Headline rates
| Tax | Rate | Notes |
|---|---|---|
| Corporate income tax | 18% | On taxable profit |
| VAT | 20% | Only above ~$115,000 annual turnover |
| Personal income tax | 21% | Flat |
| Payroll taxes | 21%–26% | Borne by the employer |
The VAT threshold matters
Many small companies stay below the ~$115,000 turnover threshold and therefore don’t register for VAT at all — a real simplification for consultants, freelancers and early-stage businesses. Once you cross it, VAT registration and 20% become mandatory.
Tech startup incentive
Qualifying IT and technology companies can access reduced rates for up to the first five years. If you’re in software or digital services, this is worth structuring around from day one.
Filing obligations
- Monthly returns (payroll and, if registered, VAT)
- Annual corporate income tax return
- All filings can be submitted online
Penalties for late or incorrect filings are significant, which is why nearly every foreign-owned company uses a local accountant. Our accounting service handles all filings from $83/month.