Armenia will tax the electronic services provided by foreign companies. This is what Chairman of the State Revenue Committee of Armenia Rustam Badasyan said during today’s discussion on the bill on making amendments to the Tax Code held as part of a parliamentary session.

Badasyan said this particularly concerns calculation of value added tax for non-resident organizations that don’t have a permanent representation in Armenia and won’t have an impact on trade via the Internet. He added that there are four criteria to determine whether a particular service is provided in Armenia, including the official address of the recipient, the country of registration of the recipient’s bank account, telephone number and the pertinence of the IP address to the particular country. “These companies will be able to pay taxes in Armenia by registering on the special portal of the State Revenue Committee, after which they will pay VAT every quarter,” he said.

After the discussion, the parliamentary committee gave its consent to the bill.