LLC Taxes in Armenia 2026 | Complete Guide
Learn what taxes an LLC pays in Armenia: profit tax, VAT, income tax, and social contributions. Detailed explanations with examples.
Tax System for LLCs in Armenia
If you are planning to register an LLC in Armenia or already operate a business, it is essential to understand your tax obligations.
LLCs in Armenia may operate under different tax regimes depending on turnover and type of activity.
Profit Tax
The standard profit tax rate is:
18% of net profit
Example:
If the company’s annual net profit is AMD 10,000,000, the profit tax equals AMD 1,800,000.
VAT (Value Added Tax)
If annual turnover exceeds AMD 115 million, the company must register as a VAT payer.
VAT rate: 20%
Input VAT can be deducted from output VAT.
Income Tax for Employees
If the LLC has employees, it must:
Withhold 20% income tax
Pay mandatory social contributions
Turnover Tax
Small businesses may apply turnover tax.
Rates range from 1.5% to 5%, depending on business sector.
Frequently Asked Questions
Is an accountant required immediately after LLC registration?
Yes, from the start of business activity.
Is accounting outsourcing allowed?
Yes, and it is often more cost-effective than hiring in-house staff.
Can a company avoid VAT?
Only if turnover does not exceed the legal threshold.