Armenian movement calls for tax relief for small businesses

A member of the Mer Dzevov (In Our Way) movement launched by businessman and philanthropist Samvel Karapetyan has called for major tax reforms, arguing that Armenia’s current system places an unfair burden on small and medium-sized businesses.

In a video posted on social media on Wednesday, Artur Mikayelyan said existing tax policies prevent entrepreneurs from fully benefiting from the income they earn through their work and financial risk-taking.

“What I’m about to say directly affects your personal income,” Mikayelyan said. “Today, you work, but you should understand that what you earn is not entirely yours. We are coming to change that.”

He criticized the state’s 10% turnover tax, arguing that it disproportionately affects entrepreneurs who rely on loans, employ workers and face unpredictable expenses.

“Small and medium-sized businesses are the most vulnerable,” he said. “They take risks, take loans and deal with unforeseen costs, yet the state still takes a fixed share of their turnover.”

Mikayelyan said the government should prioritize building a sustainable and functioning economy, and proposed eliminating profit taxes for small and medium-sized enterprises.

“Our solution is a 0% profit tax for SMEs,” he said. “So people can breathe, the money stays in the business and allows it to grow. A business that closes down benefits no one.”