Income Declaration Requirements under the Universal Income Declaration System in Armenia
This article is prepared by QuinnPoint Legal and Advisory
This article is intended to provide comprehensive guidance on the obligations arising under Armenia’s Universal Income Declaration System, specifically regarding income declaration requirements for residents of the Republic of Armenia.
The Republic of Armenia has implemented the Universal Income Declaration System, which is being introduced in phases between 2023 and 2025. This system imposes specific obligations on Armenian citizens who are residents of Armenia. Below are the key details for submission of the universal declaration:
Who Must Declare Income?
Armenian citizens who are residents of Armenia, excluding minors, are required to declare all income to the tax authorities. This includes:
• Taxable Income
• Non-Taxable Income
• Payments made by tax agents (such as employers)
Armenian citizens who are residents of Armenia, excluding minors, are required to declare all income to the tax authorities. This includes:
• Taxable Income
• Non-Taxable Income
• Payments made by tax agents (such as employers)
Even if an individual has not received any income during the reporting year, they are still obligated to file a declaration. For the purpose of income declaration, a citizen is required to submit a declaration (Form) to the tax authorities for the 2024 reporting year (until November 1, 2025) if:
• The individual was considered an employee during 2024.
• The individual received taxable income under civil law contracts in 2024.
• As of December 31, 2024, the individual held a position defined by the Law of the Republic of Armenia "On Public Service," including positions in state service, community service, and/or public office.
• As of December 31, 2024, the individual was a participant (shareholder, partner, member) of a commercial organization, which, for the year 2023, reported gross income of 1,000,000,000 AMD or more.
• During 2024, the individual was considered a beneficial owner of a legal entity under the Law of the Republic of Armenia "On Combating Money Laundering and Terrorist Financing."
• The individual received a loan of 20,000,000 AMD or more in 2024.
• The individual submitted a declaration for the 2023 reporting year.
• As of December 31, 2024, the individual was a participant (shareholder, partner, member) of a commercial organization, which, for the year 2023, reported gross income of 1,000,000,000 AMD or more.
• During 2024, the individual was considered a beneficial owner of a legal entity under the Law of the Republic of Armenia "On Combating Money Laundering and Terrorist Financing."
• The individual received a loan of 20,000,000 AMD or more in 2024.
• The individual submitted a declaration for the 2023 reporting year.
Note: The provision for receiving a loan amounting to 20 million AMD or more for 2023-2024 applies exclusively to loans and does not pertain to credits provided by banks (credit organizations). A loan agreement must be concluded in writing. Under a loan agreement, one party (the lender) transfers money or other property defined by generic characteristics to the ownership of the other party (the borrower), and the borrower is obliged to return the same amount of money (the loan amount) or property of the same quantity, type, and quality as received from the lender.
For the 2025 reporting year (currently until May 1, 2026) and for subsequent years, all Armenian citizens who are residents of the Republic of Armenia will be required to submit an income declaration.
What is necessary to file the declaration?
The submission shall be made electronically via the designated online platform by the individual independently. In order to file a declaration, citizens shall obtain an electronic signature.
The submission shall be made electronically via the designated online platform by the individual independently. In order to file a declaration, citizens shall obtain an electronic signature.
How to obtain an electronic signature?
In the Unified System of Electronic Services for individuals, three types of electronic signatures (Cosign, ID card, mID) are available, which can be obtained by applying to "EKENG" CJSC.
In the Unified System of Electronic Services for individuals, three types of electronic signatures (Cosign, ID card, mID) are available, which can be obtained by applying to "EKENG" CJSC.
How to Access the Online Platform to submit the declaration?
Citizens who have already completed identity verification and obtained an electronic signature can access the system by following these steps:
1. Visit the official website of the SRC at www.src.am.
Citizens who have already completed identity verification and obtained an electronic signature can access the system by following these steps:
1. Visit the official website of the SRC at www.src.am.
2. Go to the "Individual" section and select the "Annual Declaration for Individuals"
subsection.
3. Click the link: https://self-portal.taxservice.am
subsection.
3. Click the link: https://self-portal.taxservice.am
The system is available in three languages.
What is the deadline for submission for the year 2024?
The deadline for submission is May 1, 2025.
The deadline for submission is May 1, 2025.
What will happen if you fail to file the declaration?
Failure to submit the income declaration within the prescribed timeframe will result in legal liability to pay fines, as stipulated under applicable laws.
Failure to submit the income declaration within the prescribed timeframe will result in legal liability to pay fines, as stipulated under applicable laws.
Income subject to declaration
The following income types are subject to declaration under the Universal Income Declaration System:
1. Salary (Compensation for Work)
• Base salary, bonuses, overtime, night shifts, holiday pay, allowances, and other rewards (regardless of frequency or funding source).
• One-time payments from employment-related funds, except for legally mandated compensation like temporary incapacity benefits and social assistance.
• Payments for forced idle time, reinstatement of previous positions, participation in legal strikes, additional workload, or time spent on mandatory health checks.
• Leave Payments:
• Payments for annual, extended, or additional leave, as well as compensation for unused leave after employment ends.
• Royalties, excluding certain exemptions.
2. Income from Civil Law Contracts
• Payments for services rendered or work performed under civil law contracts, which involve the transfer of ownership rights over the results of the work (including partial compensation, grants, or subsidies).
• Service provision is considered the performance of actions by one person for the benefit of another, compensated in any form (including partial compensation, grants, or subsidies).
The following income types are subject to declaration under the Universal Income Declaration System:
1. Salary (Compensation for Work)
• Base salary, bonuses, overtime, night shifts, holiday pay, allowances, and other rewards (regardless of frequency or funding source).
• One-time payments from employment-related funds, except for legally mandated compensation like temporary incapacity benefits and social assistance.
• Payments for forced idle time, reinstatement of previous positions, participation in legal strikes, additional workload, or time spent on mandatory health checks.
• Leave Payments:
• Payments for annual, extended, or additional leave, as well as compensation for unused leave after employment ends.
• Royalties, excluding certain exemptions.
2. Income from Civil Law Contracts
• Payments for services rendered or work performed under civil law contracts, which involve the transfer of ownership rights over the results of the work (including partial compensation, grants, or subsidies).
• Service provision is considered the performance of actions by one person for the benefit of another, compensated in any form (including partial compensation, grants, or subsidies).
Additional Information
For further information regarding other types of income, please refer to the document approved by the State Revenue Committee (SRC). Information on the identification of beneficial owners is available in the accompanying guide from the Central Bank. Details on how to complete the declaration can be found in the related document approved by the SRC.
For further information regarding other types of income, please refer to the document approved by the State Revenue Committee (SRC). Information on the identification of beneficial owners is available in the accompanying guide from the Central Bank. Details on how to complete the declaration can be found in the related document approved by the SRC.
Disclaimer
This information is provided for general informational purposes only and is not a substitute for professional advice. The content herein is based on official sources but does not guarantee complete accuracy or comprehensiveness. For full details, refer to the official resources in Armenian, as the regulation applies specifically to Armenian citizens.
This information is provided for general informational purposes only and is not a substitute for professional advice. The content herein is based on official sources but does not guarantee complete accuracy or comprehensiveness. For full details, refer to the official resources in Armenian, as the regulation applies specifically to Armenian citizens.
Should you require further clarification, please contact QuinnPoint Legal and Advisory
Email: [email protected]
Email: [email protected]
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