SRC clarifies: No income taxation project for citizens working abroad
The State Revenue Committee of the Republic of Armenia made a statement on income tax declaration. The statement reads:"The topic of the declaration of individuals is widely discussed on mass media and social networks. The State Revenue Committee informs that before the introduction of the project, it should be put to public discussion, during which the positive and negative aspects of the issue will be discussed.
As for the income taxation mechanism of citizens working abroad, no such project or idea exists. In the interview with the media, the response of the SRC derived from the general principles of income taxation from residents (income from the RA and foreign sources), but that does not mean that their income will be subject to taxation or such a project is being discussed."
Today, on various platforms, the statement of the chairman of the State Revenue Committee Davit Ananyan that Armenia is trying to introduce a transfer taxation mechanism is being widely discussed. "In other words, if a citizen receives income from abroad, (s)he must declare it and pay 23% of it as income tax to the state," the SRC Chairman told Radiolur.
Thus, according to the idea of the SRC, all citizens of Armenia aged 18-65 will be potential income tax payers by 2020. The first step should be the citizen’s compulsory declaration of their own income after which it will be determined whether their income is subject to taxation or not.
Citizens are worried about it. In particular, Facebook users find it strange that such a statement has been made in the pre-election period.