ArmInfo.Armenia extends VAT-free import exemption for electric vehicles. Amendments to the RA Tax Code were approved at a government meeting on October 16.
According to RA Minister of Economy Gevork Papoyan, the amendments provide for an extension of the preferential tax system for imported electric vehicles, electric buses, trolleybuses, motorcycles, and mopeds for another year-from January 1 to December 31, 2026. Currently, these vehicles are exempt from VAT until January 1, 2026. This exemption has been in effect since 2019, and given the positive results, it has been deemed appropriate to extend it until December 31, 2026.
At the same time, a customs duty exemption is also in effect for the import of electric vehicles. According to the Eurasian Economic Commission, 7,000 vehicles were imported into Armenia from third countries in 2022, and the established quota for 2023-2025 was 8,000 electric vehicles per year.
As a result of tax incentives, the volume of electric vehicle deliveries to the republic's domestic market has increased significantly. Specifically, 10,980 vehicles were imported in 2023, a 78% increase compared to the previous year. In 2024, these volumes exceeded 11,700 units (a 22% increase). This year, according to the State Revenue Committee, 3 electric buses and 14,888 cars were imported into Armenia, which is already 3,000 more than the entire previous year. 2,634 motorcycles and mopeds were also imported. Papoyan noted that the proposed tax break on imported vehicles will only apply to electric vehicles manufactured in 2024 and later.
