ArmInfo. Armenia plans to establish rules for calculating and paying VAT in transactions involving the supply of goods to individuals through EAEU electronic platforms. At its January 14 meeting, the National Assembly of the Republic of Armenia's Committee on Economic Affairs issued a positive opinion on the amendments to the Tax Code submitted by the RA government.
As Hamlet Sahakyan, Deputy Chairman of the RA State Revenue Committee, noted in his speech, the amendments, in particular, propose establishing that the supply of goods by an organization or individual entrepreneur from another EAEU member state through an electronic trading platform to an individual entrepreneur or individual who is not a notary in Armenia is considered e-commerce. The operator of the electronic trading platform is an organization or individual entrepreneur from an EAEU member state, including the owner of the goods through whose electronic trading platform the e-commerce is carried out and/or organized. In e-commerce, the Republic of Armenia is considered the place of delivery of goods if the goods sold to individuals are located within the Republic of Armenia at the time of completion of the transfer. The taxable base and income of the e-commerce platform operator for transactions denominated in foreign currency are determined on the date of delivery of the goods based on the average exchange rate published by the Central Bank. For VAT calculation and payment purposes, the moment of delivery of goods by the e-commerce platform operator is considered the last day of the month, including the day of payment for the goods by individuals.
In the event of a return of goods delivered to an individual or a refusal of paid goods, the operator must reflect the results of the VAT transaction adjustment in the tax calculation submitted to the tax authority for the reporting period in which the amount paid for the goods was fully or partially refunded to the individual. Transactions involving the supply of goods by subjects of the Republic of Armenia to individuals located in another EAEU member state are subject to a zero VAT rate. The application of a zero-rated VAT must be substantiated by the information submitted to the tax authority by the e-commerce platform operator.
