The ministry of High-Tech Industry published a draft of the new law on State Support program for fostering the High-tech sector.
This is the new law, that replaces the older law accepted in 2015.
The old law provided an opportunity for the newly established IT companies have 0% profit tax, 10% income tax and other benefits.
Key changes:
- The new law enter in the effect from Jan 1, 2023, and will be in force till Dec 31, 2027.
- The scope of the law increased, and it will include Hight Tech domain in addition to IT industry.
- Contractors working under a service contract will be counted as employees and the total number of contractors and employees should not exceed 50 people.
- Now if a minority shareholder (angel investor) owns shares in up to 3 companies who are granted benefits under this law, it will not become a reason to cease the benefits for those companies.
The community can vote on the new law and share their feedback or suggestions. Deadline – September 16, 2022.
You can watch this insightful video where Sergey Muradyan, the CEO & Founder of Step Consulting discusses the pros and cons of new law: https://cutt.ly/hCFldQo
#mhti #statesupport #law #draft
This is the new law, that replaces the older law accepted in 2015.
The old law provided an opportunity for the newly established IT companies have 0% profit tax, 10% income tax and other benefits.
Key changes:
- The new law enter in the effect from Jan 1, 2023, and will be in force till Dec 31, 2027.
- The scope of the law increased, and it will include Hight Tech domain in addition to IT industry.
- Contractors working under a service contract will be counted as employees and the total number of contractors and employees should not exceed 50 people.
- Now if a minority shareholder (angel investor) owns shares in up to 3 companies who are granted benefits under this law, it will not become a reason to cease the benefits for those companies.
The community can vote on the new law and share their feedback or suggestions. Deadline – September 16, 2022.
You can watch this insightful video where Sergey Muradyan, the CEO & Founder of Step Consulting discusses the pros and cons of new law: https://cutt.ly/hCFldQo
#mhti #statesupport #law #draft
👍1
Good news for the Armenian startup community!
The National Assembly has approved a law on "State Support for the High-Tech Sector" with several important changes.
The package envisions providing over $80 million in annual support to technology sector companies in terms of tax benefits covering income tax, corporate tax, and turnover tax. Beneficiaries include micro, small, medium, and large businesses, as well as relocated and subsidiary companies, branches, and other legal entity divisions. Sole entrepreneurs are also eligible beneficiaries.
Here's what's new:
1) Boosting R&D: Resident companies paying corporate profit tax can reduce taxable income by 200% of salaries paid to R&D specialists.
2) Incentives for Hiring New Talent: Companies hiring new employees will receive 60% of the new employee’s income tax as state support for three years.
3) Turnover Tax Reduction: Entrepreneurs and high-tech companies with turnover of up to $280k/year (AMD 115M) will benefit from a reduced tax rate of 1% (vs 5%).
4) Support for Relocants (Work Migrants): Starting Jan 1, 2026: 60% income tax reimbursement to relocants. For 2025: Same support extended to companies employing them.
Sources: Vice President of National Assembly Hakob Arsakhyan - See original post here and Advisor to VP of NA Sergey Muradyan - See the post here
#PolicyUpdates #StateSupport #Incentives
—————————————————
🔥 Join 3N to stay on top of startup news
The National Assembly has approved a law on "State Support for the High-Tech Sector" with several important changes.
The package envisions providing over $80 million in annual support to technology sector companies in terms of tax benefits covering income tax, corporate tax, and turnover tax. Beneficiaries include micro, small, medium, and large businesses, as well as relocated and subsidiary companies, branches, and other legal entity divisions. Sole entrepreneurs are also eligible beneficiaries.
Here's what's new:
1) Boosting R&D: Resident companies paying corporate profit tax can reduce taxable income by 200% of salaries paid to R&D specialists.
2) Incentives for Hiring New Talent: Companies hiring new employees will receive 60% of the new employee’s income tax as state support for three years.
3) Turnover Tax Reduction: Entrepreneurs and high-tech companies with turnover of up to $280k/year (AMD 115M) will benefit from a reduced tax rate of 1% (vs 5%).
4) Support for Relocants (Work Migrants): Starting Jan 1, 2026: 60% income tax reimbursement to relocants. For 2025: Same support extended to companies employing them.
Sources: Vice President of National Assembly Hakob Arsakhyan - See original post here and Advisor to VP of NA Sergey Muradyan - See the post here
#PolicyUpdates #StateSupport #Incentives
—————————————————
🔥 Join 3N to stay on top of startup news
Linkedin
#innovation #hightech #armenia #r #futureready | Hakob Arshakyan
📢 Armenia's High-Tech Future: Bold Steps Forward!
The National Assembly has approved a transformative law on "State Support for the High-Tech Sector," showcasing Armenia's commitment to innovation and technological growth. Here's what's new:
🚀 Support for…
The National Assembly has approved a transformative law on "State Support for the High-Tech Sector," showcasing Armenia's commitment to innovation and technological growth. Here's what's new:
🚀 Support for…
👍8👎1