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The American Chamber of Commerce in Armenia (AmCham) presented suggestions over the reforms of Armenia’s Tax legislation.  

“Along with number of business associations we had tough position about the presented draft reform [on Tax Code]. We thought in its current form and content the Tax Code would create problems for the business,” Tigran Jrbashyan, President of the American Chamber of Commerce in Armenia told journalist today in Yerevan.

Jrbashyan noted they drafted an alternative package of the Tax Code.

“The most important and principled approach is the claim that both the government and international financial structures view the business to be merely concerned with business-related taxes, yet in the reality that is not the case. We have displayed a balanced approach with this respect. The draft version of the legislation suggested by us even surpasses the volumes of tax revenues envisaged in the version currently discussed in the National Assembly. Every modern business pays no less attention to the stability of a state, its capability to collect budget means, since that results in an overall sustainability of the system and subsequently to the business risk management,” Jrbashyan said.


The American Chamber of Commerce suggests adopting the concept “21” which sets equal tax rates for the income tax, Value-added tax, profit tax + value of the taxpayer's shares.

To Jrbashyan words, the concept aims to provide an integrated perceivable and simple system to ensure the balance for the business, employers, employees, the public and the state.

According to AmCham President, if the existing legislation ensures 2% GDP growth from the tax revenues, their version ensures 3% GDP increase, at the same time securing a normal environment for the business operation, for employees and the state.

He next informed that the draft version had been discussed with the government and despite the outlined logical innovations, was dismissed as infeasible out of the time limitations put over the adoption of the Code.

Asked what expectations he had from the new government in terms of adopting the suggested amendments, Jrbashyan said: “At least it would be free of the obligations of the previous one [government]. I think and hope so that the future government will be more business-oriented and balanced”.
To his words, the change of the government creates favorable conditions for an in-depth review of a document aimed at development rather designed for solving tactical issues.

 “I expect an open and thorough discussion,” Jrbashyan stressed.

To remind, Armenia’s National Assembly adopted the RA Tax Code on June 15 in the first reading with 86 voted in favor, 21 opposing and 18 abstainers.