Small businesses to be exempt from taxes to foster growth – Narek Karapetyan (Video)

Last year, the small business tax in Armenia doubled, rising from 5% to 10%, Narek Karapetyan, coordinator of the “Our Way” movement, announced during the presentation of Samvel Karapetyan’s economic program.

“In the Republic of Armenia, 69,000 businesses are subject to turnover tax, 27,000 of which are medium and large enterprises. These 69,000 businesses account for 70% of all companies but contribute only 2% of total tax revenues. We must exempt small businesses from taxes to give them the opportunity to grow,” Karapetyan said.

“In just one year, we lost 3,000 small businesses due to the doubling of taxes. Beauty salons, bakeries, and small kiosks – your taxes will now be zero,” he emphasized.

Karapetyan clarified that the plan targets genuine small businesses. “We are not asking medium-sized companies to divide themselves into smaller entities. That is an administrative matter. Our goal is to support small businesses as they grow into medium-sized enterprises. We will cover the 2% from other sources to ensure they can develop,” he said.