#

Ease of Doing Business in

Armenia

Armenia Download Profile (1732.6KB, pdf)
Region Europe & Central Asia
Income Category Lower middle income
Population 3,017,712
GNI Per Capita (US$) 3,880
City covered Yerevan

190

1

DB 2017 Rank

1

100

DB 2017 DTF (% points)

  • local_library
  • group
Topics DB 2017 Rank DB 2016 Rank info_outline Change in Rank DB 2017 DTF (% points) info_outline DB 2016 DTF (% points) info_outline Change in DTF (% points) info_outline
Overall 38 43 up
5
73.63 72.16 down
1.47
Starting a Business 9 9
-
96.07 96.06 up
0.01
Dealing with Construction Permits 81 78 down
3
70.03 69.93 up
0.10
Getting Electricity 76 85 up
9
73.17 70.02 up
3.15
Registering Property 13 13
-
87.36 87.33 up
0.03
Getting Credit 20 42 up
22
75.00 65.00 up
10.00
Protecting Minority Investors 53 51 down
2
60.00 60.00
-
Paying Taxes 88 88
-
72.49 72.49
-
Trading across Borders 48 48
-
86.45 86.45
-
Enforcing Contracts 28 35 up
7
69.71 67.85 up
1.86
Resolving Insolvency 78 75 down
3
46.06 46.44 down
0.38

Positive=Doing Business reform making it easier to do business. Negative=Change making it more difficult to do business.

DB 2017 Rank: 88

DB 2016 Rank: 88

Change in Rank: 0

DB 2017 DTF (% points): 72.49

DB 2016 DTF (% points): 72.49

Change in DTF (% points): 0.00

Indicator Armenia Europe & Central Asia OECD high income
Payments (number per year) info_outline 14.0 17.6 10.9
Time (hours per year) info_outline 313.0 221.5 163.4
Total tax rate (% of profit) info_outline 18.5 33.8 40.9
Postfiling index (0-100) info_outline 49.1 71.9 85.1
Tax or mandatory contribution Payments (number) Notes on Payments Time (hours) Statutory tax rate Tax base Total tax rate (% of profit) Notes on TTR
Corporate income tax 1 online 113 20% taxable profit 17.63
Land Tax 2 1% cadastral value 0.51
Property tax on Building 2 0.3% cadastral value 0.29
Vehicle tax 2 varies depends on horsepower 0.02
Environmental fee 4 AMD 600 ton of non-toxic waste 0.02
Environmental pollution charge for vehicles 1 AMD 50 per horsepower engine of the vehicle (in horsepower) 0.01
Income tax (includes social security contributions - employees) 1 online 103 (i) 24.4% of monthly taxable income up to AMD 120,000; (ii) AMD 29,280 plus 26% of the monthly taxable income exceeding AMD 120,000; (iii) AMD 518,080 plus 36% of the monthly taxable income exceeding AMD 2,000,000. gross salaries 0.00
Value added tax (VAT) 1 online 97 20% value added, land sale 0.00 not included
Totals: 14.0 313.0 18.5
  • Taxes by type Answer
    Profit tax (% of profit) 17.6
    Labor tax and contributions (% of profit) 0.0
    Other taxes (% of profit) 0.8
    Answer Score
    Postfiling index (0-100) 49.1
    VAT refunds
    Does VAT/GST exist? Yes
    Frequency of VAT/GST refund submission monthly
    Does a VAT/GST refund process exist per the case study? No
    Restrictions on VAT refund process Restricted to international traders and others
    Likelihood of VAT audit N/A
    Time to comply with VAT refund (hours) N/A 0.0
    Time to obtain a VAT refund (weeks) N/A 0.0
    Corporate income tax audits
    Does corporate income tax exist? Yes
    Likelihood of corporate income tax audit Highly unlikely
    Time to comply with a corporate income tax audit (hours) 3.5 96.3
    Time to complete a corporate income tax audit (weeks) 0.0 100.0
    Administrative appeal process
    First level administrative appeal authority Appeal Committee adjacent to the tax inspectorate
    Is the appeal authority independent? Independent department within tax office
    Are appeal guidelines accessible to the public? Yes
    Source of appeal guidelines online/in printed publication/in person at tax office/other
    Is there a legal time limit for the appeal authority to issue a decision on the tax appeal? Yes
    Legal time limit 30 days

Notes:

Name of taxes have been standardized. For instance income tax, profit tax, tax on company's income are all named corporate income tax in this table.

The hours for VAT include all the VAT and sales taxes applicable.

The hours for Social Security include all the hours for labor taxes and mandatory contributions in general.

The postfiling index is the average of the scores on time to comply with VAT refund, time to obtain a VAT refund, time to comply with a corporate income tax audit and time to complete a corporate income tax audit.

N/A = Not applicable.