Armenian Ministry of Finance has proposed changing the VAT regime for the jewelry industry
19.03.2026,
14:00
The Armenian Ministry of Finance is proposing to establish a special tax regime for the development of the jewelry industry, announced Minister Vahe Hovhannisyan.
YEREVAN, March 19. /ARKA/. The Armenian Ministry of Finance is proposing to establish a special tax regime for the development of the jewelry industry, announced Minister Vahe Hovhannisyan.
"The draft proposed revising the VAT rules for transactions involving gold and precious stone items," Hovhannisyan said at a government meeting on Thursday, presenting amendments to the RA Tax Code.
According to him, current legislation exempts the sale of gold and precious stones from VAT, but the sale of jewelry using these materials is subject to taxation.
Hovhannisyan noted that, as a result, gold and precious stones used in the manufacture of jewelry are effectively subject to VAT, despite the fact that the cost of these materials often constitutes the majority of the jewelry's price.
"As a result, it turns out that gold and precious stones used in the manufacture of gold jewelry are effectively subject to VAT," the minister said, noting that the cost of gold and precious stones often constitutes the majority of the jewelry's price. "The problem is that when jewelry companies exceed the VAT threshold of 115 million drams per year, the market price of their products increases significantly, which reduces their competitiveness," Hovhannisyan explained. ($1 = 377.39 drams).
"The draft proposed revising the VAT rules for transactions involving gold and precious stone items," Hovhannisyan said at a government meeting on Thursday, presenting amendments to the RA Tax Code.
According to him, current legislation exempts the sale of gold and precious stones from VAT, but the sale of jewelry using these materials is subject to taxation.
Hovhannisyan noted that, as a result, gold and precious stones used in the manufacture of jewelry are effectively subject to VAT, despite the fact that the cost of these materials often constitutes the majority of the jewelry's price.
"As a result, it turns out that gold and precious stones used in the manufacture of gold jewelry are effectively subject to VAT," the minister said, noting that the cost of gold and precious stones often constitutes the majority of the jewelry's price. "The problem is that when jewelry companies exceed the VAT threshold of 115 million drams per year, the market price of their products increases significantly, which reduces their competitiveness," Hovhannisyan explained. ($1 = 377.39 drams).
