Accounting in Armenia
1. The accounting issues in the Republic of Armenia shall be regulated by:
- the law of the Republic of Armenia “On Accounting” and other Armenian laws pertaining to accounting
- other normative regulations for the accounting adopted by a state regulatory body.
International financial reporting standards (IFRS), as well as principles of preparation and submission of financial statements, guidelines for standards and other mandatory documents published by IASB are in force in Armenia, in terms established by Armenian legislation.
2. All organizations (legal entities and institutions founded by them, branches and representations of foreign organizations) having state registration in Armenia must carry out accounting in the procedure established by the law.
The accounting shall be done satisfying the requirements of Armenian law “On struggle against money laundering and financing of terrorism”.
The following organizations must keep the books using accounting SW compliant to the requirements of Armenian accounting legislation:
|The period of using accounting SW||The amount of gross income of previous year, accounted for as per provisions of Armenian law “On Profit Tax”|
|Starting from 1st of January, 2013||More than 1 billion AMD|
|Starting from 1st of January, 2014||More than 500 mln AMD|
The procedure of determination of compliance of accounting SW is established by Armenian Government.
Tax payers whose previous calendar year’s revenue doesn’t exceed 100 million AMD may apply special tax accounting rules and procedures defined by Armenian Government instead of IFRS.
3. The head of the executive body of an organization shall be responsible for compliance of accounting of the organization.
The organization’s chief executive may keep the books (accounts):
- employing accountant(s),
- outsourcing the accounting services from an accounting firm,
The chief executor of an organization shall be obliged to:
- define the accounting policies of the organization,
- ensure execution of accounting and preparation of financial statements,
- organize the safekeeping of accounting documents (vouchers).
4. The keeping of books shall be done on the basis of accounting documents (vouchers) and using the following main accounting rules:
- maintaining records in Armenian currency (AMD),
- using double-entry method, according to the cart of accounts,
- uninterruptedly, starting from the date of state registration and until the moment of reorganization or liquidation of organization.
The safekeeping of accounting ledgers, initial documents (vouchers) and documents related to accounting policies, as well as of computer storage medium shall be done in term and procedure established by Armenian legislation, but not less than 5 years.
Non-official information (updated as of 1st of January, 2013)