ArmInfo.The State Revenue Committee (SRC) of Armenia clarifies the RA government's decision of February 26 to establish the types and thresholds of deductible (non- taxable) income exempt from annual declaration.
Specifically, it was established that the following types of deductible (non-taxable) income will not be included in Section 2 of the submitted declaration: - amounts of loans received; - awards to athletes and coaches who have won international competitions as part of the RA national team, including state awards (prizes); - the value of cash and non-cash prizes received at competitions, in an amount not exceeding 50,000 drams for each prize; - and a number of other types of deductible (non-taxable) income.
The same decision established that the following types of income received at a time in the amount of up to and including 1 million drams are not subject to declaration:
- property and/or funds received from individuals by inheritance and/or gift,
- amounts of received loans,
- income received from other individuals from the sale of property, with the exception of income from the sale of land,
- amounts of assistance received in the event of the death of an employee's family member,
- assets, work, and services received free of charge from non-profit organizations,
- assets, work, and services received free of charge from state and local government bodies of the Republic of Armenia, permanent bodies established in accordance with law, as well as from foreign states and international, intergovernmental organizations, payments made in favor of individuals by the aforementioned bodies and organizations,
- income received from the sale of gold and precious stones to a tax agent engaged in the purchase and sale of precious metals, articles made of precious metals, or precious stones through retail outlets (gold markets).
It is important to note that if the established threshold is exceeded, the aforementioned income must be declared in full. This means that if, for example, a person received a lump sum of 1 million 200 thousand drams, they must declare the entire amount, not just the portion exceeding the established threshold (i.e., 200,000 drams).
It is noted that declarants may, if they wish, declare their non-taxable income, regardless of whether it is not subject to declaration or does not exceed the threshold.
The State Revenue Committee of the Republic of Armenia reminded that deductible (non-taxable) income received from family members (spouse, parents, sisters, brothers, children (adopted and adoptive), grandparents, and grandchildren) is not subject to declaration, regardless of the amount of income received.
The implementation of the Universal Income Declaration system for all resident citizens of the Republic began in 2023. The process will be completed in 2026. Citizens resident in the Republic of Armenia can claim a reimbursement of social expenses (education and healthcare) from their income tax by filing an income tax return.
This reimbursement applies to social expenses incurred by both the individual filing the return and family members (spouse, parents, and children).
The reimbursement of expenses does not exceed 100,000 drams per reporting year. The deadline for filing income tax returns for 2025 is March 2 to November 1, 2026.
