Armenia`s government insists on universal income statements by  individuals 

ArmInfo. On March 13, the Armenian government rejected the proposal of the parliamentary opposition to abolish the system of declaring the income of individuals.

As stated in the explanatory note to the document, the MP of the NA  faction Seyran Ohanyan proposed to abolish the application  of the system of universal declaration of income of individuals,  established by Part 4.1 of Article 156 of the Tax Code of the  Republic of Armenia. At the same time, it is proposed to establish  that the annual calculations (declarations) of income submitted by  individuals before the entry into force of the law cannot be used  within the framework of administration carried out by authorized  state bodies.

According to Ohanyan, the system of universal declaration of income  of individuals is outdated, incomplete and inadequate in terms of the  stated goal, and for citizens it will become a new and unnecessary  administration, a meaningless obligation and a basis for fines, and  from the point of view of the state - a meaningless and ineffective  process of double or triple collection of already existing  information. It is also noted that there are other equally important  technical and substantive unresolved issues, which indicate that the  tax authorities are also not ready to accept these declarations.

In response, the country's Cabinet of Ministers states that the  introduced by  the State Revenue Committee operates in the normal mode, and  individuals submit declarations. Thus, as of February 19, 2025, 7,975  individuals (out of approximately 900 thousand - ed.) submitted  annual declarations on personal income tax for the 2024 reporting  year, and 1,975 individuals (out of approximately 120 thousand  declarants - ed.) for the 2023 reporting year. 

The executive body gives assurances that no changes were made to the  tax policy as part of the introduction of the declaration system: no  non-taxable income became taxable, and no tax rate on taxable income  was increased. Thus, the introduction of the declaration system did  not pursue the goal of increasing state budget revenues (by  establishing additional tax liabilities or imposing fines).

In general, the government insisted that the introduction of a  universal system of declaration of income of individuals will  contribute to the formation of a culture of tax payment in society,  especially considering that, by submitting a declaration, citizens  will learn about their nominal income and taxes withheld from it

, - the authorities of the  Republic of Armenia summarize.

The introduction of the system of Universal Declaration of Income of  all citizens-residents of the republic began in 2023. The process is  organized in three stages, with each year the circle of people  obliged to submit a declaration increasing. The implementation of the  system will be completed in 2025.

In case of failure to submit an annual tax return within the  established deadline, the tax service will send you a warning. Then,  if the declaration is not submitted within 30 days after the warning  is issued, a fine of 5 thousand drams (50 thousand for officials and  businessmen) will have to be paid, and after another month - twice as  much.