Microbusiness - who can pay 0% tax?
Tax regime with zero rate for small business
What is this regime?
Micro-entrepreneurship is a tax regime to support small business in Armenia that allows applying a zero tax rate (0%).
The regime exempts from payment of social tax, profit tax, and turnover tax. Some taxes remain: stamp duty, taxes for employees, and others specific to the type of activity.
This regime can be applied by organizations and individual entrepreneurs if their turnover for the previous tax year for all types of activities does not exceed 24 million AMD (approximately 62k USD).
Restrictions from January 1, 2025
From January 1, 2025, the following types of activities cannot apply the microbusiness regime.
Financial sector:
banks, credit organizations, insurance companies, insurance agents and brokers, investment companies and funds, fund managers, pawnshops, securities market participants, currency exchange, payment organizations, notaries.
Professional and consulting services:
consulting, legal, accounting, engineering, advertising, design, marketing, translation, expert, expert evaluation services.
Medicine and services:
medical, maintenance, dental, hairdressing, cosmetology (body care), automotive maintenance and repair.
IT and science:
software development, information processing and transmission, research, experimental design and technological work.
Construction and architecture:
construction work, development of architectural and construction design documentation, assessment and measurement of real estate.
Entertainment and trading activities:
casinos, lotteries, saunas, baths, steam rooms, trade (buying and selling goods).
Intermediaries:
services in the field of purchase and sale, rental and gratuitous use of real estate, as well as similar intermediary services.
Public catering:
persons engaged in public catering activities within the administrative boundaries of Yerevan, except for breakfasts, lunches and dinners provided as part of hotel services through tourist houses, provided for in Appendix 3 to the Tax Code.
The automated EasyTaxes system will help adapt to the new rules.
