Armenia Turnover Tax Calculator for 2026
Work out turnover tax for a sole proprietor or LLC: the rate for your activity, the expense deduction, the minimum tax and fixed IE payments.
The calculator shows how much turnover tax you will owe for a month, a quarter or a year. Turnover from different activities is entered separately, because each has its own rate, its own expense deduction and its own minimum. For a sole proprietor it adds the fixed monthly payments, and it sets the result against microbusiness status and the general regime.
Enter your ՏԳՏԴ activity code and the calculator will check whether it is excluded from turnover tax or from microbusiness. It is useful when choosing a regime for a new IE or LLC, or when double-checking a quarterly payment.
How turnover tax is calculated
The tax period is a quarter, and each activity is calculated on its own:
- turnover excluding VAT is multiplied by the category rate;
- a percentage of the documented expenses for the same quarter is subtracted;
- the tax cannot fall below the minimum, a fixed percentage of turnover. Expenses that do not fit into the deduction carry over to the next quarter in the same category.
Deductible costs include goods bought for resale, materials, wages, and administrative and selling costs, provided you hold an e-invoice, a cash-register receipt or a signed act. Fixed assets, depreciation, business travel and entertainment do not reduce the tax.
Turnover tax rates in 2026
| Activity | Rate | Deduction on expenses | Minimum of turnover |
|---|---|---|---|
| Trade | 10% | 9.5% | 1% |
| Production | 7% | 5% | 3% |
| Catering | 12% | 9% | 3.5% |
| Services and other activities | 10% | 6% | 4.5% |
| Rent, interest, royalties | 10% | — | — |
| Sale of assets and real estate | 10% | — | — |
| Listed secondary raw materials | 5% | — | — |
| Newspapers (editorial offices) | 1.5% | — | — |
| High-tech on the Government list | 1% | — | — |
The 1% rate applies in 2025–2031 if the activity is on the Government list, the business has no more than 50 employees and at least 90% of income comes from that activity.
Example: a sole proprietor providing services, one quarter
AMD 600,000
10% of turnover
AMD 90,000
Deduction: 6% of expenses
AMD 510,000
Turnover tax
AMD 540,000
Total with IE payments
A sole proprietor born after 1974 provides services. Quarterly turnover is AMD 6,000,000 and documented expenses are AMD 1,500,000.
- 10% of turnover: AMD 600,000;
- deduction of 6% of expenses: AMD 90,000;
- the 4.5% minimum is AMD 270,000; the tax is higher, so the floor does not apply;
- turnover tax: AMD 510,000, or 8.5% of turnover;
- fixed IE profit tax and social payment: AMD 5,000 × 3 months each, AMD 30,000 together.
The total for the quarter is AMD 540,000. A different case: a trader with AMD 10 million in turnover and AMD 12 million in purchases. The deduction hits the floor, so the tax is AMD 100,000 (1% of turnover) and AMD 2,526,316 of unused expenses move to the next quarter.
Frequently asked questions
Businesses whose turnover last year exceeded AMD 115 million, banks, insurers and other licensed financial institutions, and gambling operators. Since 1 July 2025 the regime has also been closed to legal and accounting services (code 69), management consulting (70) and staffing agencies (78.2, 78.3). Construction, healthcare and advertising can still use turnover tax; only microbusiness is closed to them.
From the moment you cross the threshold you stop being a turnover tax payer and move to the general regime: 20% VAT and 18% profit tax. You must notify the tax authority within 20 days. The calculator warns you if your figures put annual turnover above the limit.
By the 20th of the month after the quarter ends. To switch to turnover tax, file a notice by 20 February or within 20 days of registration.
AMD 5,000 a month in fixed profit tax and, if you were born in 1974 or later, an AMD 5,000 social payment. The calculator leaves out stamp duty (AMD 12,000 a year, or AMD 120,000 if income exceeds AMD 12 million) and health insurance of AMD 129,600 a year, required if your 2025 income was above AMD 2.4 million.
Microbusiness exempts you from profit tax, VAT and turnover tax, but only if last year’s turnover was up to AMD 24 million, and not for every activity: trade, IT, consulting, construction, catering in Yerevan and leasing out property are excluded. Employee wages under microbusiness are taxed at 20%. The calculator shows both options next to the general regime.
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