The State Revenue Committee of the Republic of Armenia (SRC) has published a video detailing the procedure for transitioning from the turnover tax system to the general taxation system during the tax year and the process for making value-added tax (VAT) deductions:
Requalification and VAT Deduction
According to the committee's explanation, if a taxpayer ceases to be considered a turnover tax payer at any point during the year and transitions to the general taxation system, they have the legal opportunity to make requalifications if they are recognized as a VAT payer.
Specifically, the entrepreneur can requalify the amounts of value-added tax that were not deducted during the period when they were considered a turnover tax payer, in accordance with part 4 of article 73 of the Tax Code of the Republic of Armenia.
Key Condition for Taxpayers
The SRC urges taxpayers to consider an important rule: VAT deductions can only be made if the undeducted VAT amounts are attributed to VAT-taxable transactions during the period when the taxpayer was considered a VAT payer:
Mandatory Documents to be Submitted
When changing systems and being recognized as a VAT payer, the entrepreneur is obliged to electronically submit the following documents to the tax authority:
A declaration for registration as a VAT payer,
A declaration for being recognized as a VAT payer:
The informational video prepared by the SRC and the sequence of steps are available on the committee's official platforms:
