{"id":1244,"date":"2025-04-08T14:05:02","date_gmt":"2025-04-08T10:05:02","guid":{"rendered":"https:\/\/hashvapah.com\/news\/1244\/"},"modified":"2025-04-08T14:08:03","modified_gmt":"2025-04-08T10:08:03","slug":"%d5%ab%d5%b6%d5%b9%d5%ba%d5%a5%d5%bd-%d5%af%d5%a1%d5%a6%d5%b4%d5%a5%d5%ac-%d5%bf%d5%a1%d6%80%d5%a5%d5%af%d5%a1%d5%b6-%d5%b0%d5%a1%d5%b7%d5%be%d5%a5%d5%bf%d5%be%d5%b8%d6%82%d5%a9%d5%b5%d5%b8%d6%82","status":"publish","type":"post","link":"https:\/\/hashvapah.com\/en\/news\/1244\/","title":{"rendered":"How to Prepare an Annual Financial Report in Armenia: Step-by-Step Guide"},"content":{"rendered":"

At the end of the year, organizations and individual entrepreneurs are required to submit an annual financial report<\/strong> that summarizes their financial activity. While this process may seem complex and time-consuming, with proper organization it becomes predictable and manageable.<\/p>\n

In this article, we provide a step-by-step guide<\/strong> on how to prepare an annual financial report in Armenia.<\/p>\n

<\/h2>\n

\u00a0What Is an Annual Financial Report and Why Is It Mandatory?<\/h2>\n

The annual financial report includes a complete summary of the financial operations of the given year, including:<\/p>\n

    \n
  • \n

    Income<\/p>\n<\/li>\n

  • \n

    Expenses<\/p>\n<\/li>\n

  • \n

    Tax liabilities<\/p>\n<\/li>\n

  • \n

    Status of assets and property<\/p>\n<\/li>\n<\/ul>\n

    This report is mandatory for:<\/p>\n

      \n
    • \n

      LLCs, JSCs, and other legal entities<\/p>\n<\/li>\n

    • \n

      Self-employed individuals and private entrepreneurs (PEs) \u2014 in a simplified form<\/p>\n<\/li>\n

    • \n

      Submission to tax authorities and the State Register of Legal Entities<\/p>\n<\/li>\n<\/ul>\n

      <\/h2>\n

      \u00a0Step-by-Step: How to Prepare the Annual Report<\/h2>\n

      1. Gather the Necessary Financial Data<\/strong><\/h3>\n

      You first need to collect complete and accurate data on:<\/p>\n

        \n
      • \n

        Total annual turnover of the company<\/p>\n<\/li>\n

      • \n

        Expenses by category (e.g., salaries, purchases, rent)<\/p>\n<\/li>\n

      • \n

        Tax payments<\/p>\n<\/li>\n

      • \n

        Property, liabilities, and cash balance<\/p>\n<\/li>\n<\/ul>\n

        Use accounting software or Excel spreadsheets to organize the data.<\/em><\/p>\n

        <\/h3>\n

        Compile the Financial Statement Package<\/strong><\/h3>\n

        A typical financial report package includes:<\/p>\n

          \n
        • \n

          Profit & Loss Statement<\/strong><\/p>\n<\/li>\n

        • \n

          Balance Sheet<\/strong><\/p>\n<\/li>\n

        • \n

          Cash Flow Statement<\/strong><\/p>\n<\/li>\n<\/ul>\n

          If the business is small, a shortened version may be submitted in accordance with Armenian legislation.<\/em><\/p>\n

          <\/h3>\n

          Calculate Taxes and Social Contributions<\/strong><\/h3>\n

          Make sure to calculate:<\/p>\n

            \n
          • \n

            Income tax<\/p>\n<\/li>\n

          • \n

            Corporate tax or turnover tax<\/p>\n<\/li>\n

          • \n

            VAT (if you are a VAT payer)<\/p>\n<\/li>\n

          • \n

            Social payments for employees<\/p>\n<\/li>\n<\/ul>\n

            If the amount paid exceeds the calculated amount, you may be eligible for a refund.<\/em><\/p>\n

            <\/h3>\n

            Fill Out and Submit Tax Reports<\/strong><\/h3>\n

            Use the efiling.taxservice.am<\/strong> online platform to submit the required forms:<\/p>\n

              \n
            • \n

              Annual income tax report<\/p>\n<\/li>\n

            • \n

              Financial statements (if required for your type of organization)<\/p>\n<\/li>\n<\/ul>\n

              The deadline is usually March 1 of the following year, but it’s recommended not to delay.<\/em><\/p>\n

              <\/h3>\n

              Submit the Report to the State Register<\/strong><\/h3>\n

              Legal entities are also required to submit the financial report to the State Register<\/strong> to officially summarize their annual activity.<\/p>\n

              <\/h2>\n

              \u00a0Common Mistakes to Avoid<\/h2>\n
                \n
              • \n

                Mismatched data between turnover and tax calculations<\/p>\n<\/li>\n

              • \n

                Incorrect payroll entries<\/p>\n<\/li>\n

              • \n

                Missing the legal submission deadline<\/p>\n<\/li>\n

              • \n

                Inconsistencies between bank transactions and accounting records<\/p>\n<\/li>\n<\/ul>\n

                <\/h2>\n

                \u00a0Simplified Reporting for Private Entrepreneurs (PEs)<\/h2>\n

                If you are a private entrepreneur or self-employed individual<\/strong>, your reporting requirements are significantly simplified:<\/p>\n

                  \n
                • \n

                  A basic tax form<\/p>\n<\/li>\n

                • \n

                  A few key indicators of business activity<\/p>\n<\/li>\n

                • \n

                  Often completed in just a few minutes via the online platform<\/p>\n<\/li>\n<\/ul>\n

                  <\/h2>\n

                  \u00a0Conclusion<\/h2>\n

                  The annual financial report is a key part of business accountability.<\/strong>
                  It\u2019s not only a legal obligation, but it also provides a clear overview of your financial status.
                  If you lack experience, it’s highly recommended to consult with a professional accountant to ensure the report is complete, accurate, and compliant with the law.<\/p>\n","protected":false},"excerpt":{"rendered":"

                  At the end of the year, organizations and individual entrepreneurs are required to submit an annual financial report that summarizes their financial activity. While this process may seem complex and time-consuming, with proper organization it becomes predictable and manageable. In this article, we provide a step-by-step guide on how to prepare an annual financial report […]<\/p>\n","protected":false},"author":1,"featured_media":1241,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"inline_featured_image":false,"footnotes":""},"categories":[2],"tags":[],"class_list":["post-1244","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-blog"],"acf":[],"_links":{"self":[{"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/posts\/1244","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/comments?post=1244"}],"version-history":[{"count":2,"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/posts\/1244\/revisions"}],"predecessor-version":[{"id":1247,"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/posts\/1244\/revisions\/1247"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/media\/1241"}],"wp:attachment":[{"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/media?parent=1244"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/categories?post=1244"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/hashvapah.com\/en\/wp-json\/wp\/v2\/tags?post=1244"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}