Cryptocurrency taxation in Armenia is currently evolving. As of 2024–2025, cryptoassets are legally recognized as property following amendments to the Civil Code of the Republic of Armenia adopted in June 2024.
A broader regulatory framework was introduced through the Law on Cryptoassets enacted in July 2025, which designates the Central Bank of Armenia (CBA) as the primary regulator, while tax administration falls under the State Revenue Committee of Armenia (SRC).
Despite these developments, Armenia’s Tax Code still does not contain detailed provisions specifically defining the tax treatment of crypto assets. As a result, taxation currently relies largely on interpretation of existing income tax rules.
In practice, individuals who buy and sell crypto for personal investment purposes typically benefit from a de facto 0% capital gains tax, while activities classified as entrepreneurial are taxed as business income.
International assessments have highlighted the uncertainty in Armenia’s framework. A 2024 IMF technical assistance report noted that existing tax provisions for crypto-assets remain unclear and require further regulatory guidance. Until comprehensive rules are issued, taxpayers must rely on general income tax principles and interpretations by the SRC.
Capital Gains Tax Rules
Armenia does not currently impose a specific capital gains tax on cryptocurrency for individuals investing privately. Since crypto-assets are classified as property under amendments to the Civil Code of the Republic of Armenia adopted in June 2024, gains from their sale may theoretically fall within general taxation rules.
However, under the personal income tax framework, capital gains from securities and similar personal investment assets are not taxed for non-entrepreneur individuals. This interpretation has effectively resulted in a 0% tax rate on personal crypto investment gains.
A taxable event may occur when cryptocurrency is disposed of. Disposal includes selling crypto for fiat currency, exchanging one cryptocurrency for another, or using crypto to purchase goods or services. If the activity is considered entrepreneurial rather than a personal investment, the resulting profits are treated as business income and taxed accordingly.
How capital gains are calculated
Where crypto activity is treated as business income, profits are generally calculated as the difference between the sale proceeds and the acquisition cost of the crypto assets.
This mirrors the approach used for other property transactions under Armenia’s tax framework. Since explicit valuation rules for crypto-assets have not yet been codified, taxpayers must determine the value of transactions based on reasonable market prices at the time of the transaction.
Loss treatment has not been clearly defined in crypto-specific guidance. The standard rules in the Tax Code generally allow businesses to offset losses against other business income. For personal investment activities that are not taxed, capital losses typically cannot be claimed for tax purposes.
Record keeping
Because Armenia has not issued detailed crypto accounting rules, taxpayers should maintain comprehensive transaction records. This includes purchase price, date of acquisition, disposal price, transaction fees, and the market value of the crypto-asset at the time of each transaction.
Maintaining accurate records is particularly important in the event that the activity is later reclassified as entrepreneurial by the tax authority, as this could lead to different tax obligations and potential penalties for taxpayers who do not have sufficient documentation.
Income Tax Rules
Cryptocurrency is taxed as ordinary income in Armenia when it is earned rather than simply invested. If an individual receives crypto as payment for goods, services, or employment, the value of the cryptocurrency at the time of receipt is treated as taxable income.
Income from crypto-related business activities is taxed under Armenia’s flat personal income tax system. Entrepreneurial income is subject to a 20% income tax rate. Under Tax Code Article 150.9, when a legal entity pays an individual in cryptocurrency, a 10% withholding tax may apply depending on the circumstances of the payment.
In cases where crypto trading activity is frequent, organized, or conducted with a commercial purpose, the SRC may classify the activity as entrepreneurial rather than personal investment. When this occurs, profits are taxed as business income rather than treated under the investment framework that currently results in a zero effective capital gains tax.
Mining and Staking Treatment
Mining
Cryptocurrency mining is not yet subject to a dedicated tax regime in Armenia. However, income generated from mining may be treated as entrepreneurial income if the activity is conducted regularly or at scale. In such cases, profits are taxed at the standard 20% income tax rate applicable to business activity.
The Law on Cryptoassets (2025) may introduce licensing or regulatory requirements for mining operations, although detailed tax guidance remains limited. If mining is conducted as a business, taxpayers may generally deduct related expenses such as electricity costs, equipment purchases, and operational expenses in accordance with standard business tax rules.
When mined cryptocurrency is later sold or exchanged, the difference between its market value at the time of receipt and the disposal value may generate additional taxable profit if the activity is classified as a business.
Staking
As of 2026, Armenia has not issued specific guidance on the taxation of staking rewards. In practice, staking income is likely to be treated similarly to other forms of crypto income. Rewards received through staking may therefore be taxed as income at their market value at the time they are received.
If staking is performed as part of an organized business activity, the resulting income would likely fall under the 20% entrepreneurial income tax regime. When the staked tokens or rewards are later sold, any increase in value may create an additional taxable gain if the activity is treated as a business rather than personal investment.
NFT Taxation
Armenia has not yet introduced specific legislation addressing the taxation of non-fungible tokens. However, because crypto-assets are classified as property under the amended Civil Code of the Republic of Armenia, NFTs are generally expected to fall under the same property-based framework.
For individuals purchasing NFTs as personal investments, gains realized on resale are likely to fall within the same interpretation that currently results in no capital gains tax for non-entrepreneur investors. However, if NFT trading is frequent or conducted with a commercial intent, the activity could be classified as entrepreneurial and taxed as business income.
NFT creators who mint and sell digital artworks or collectibles commercially are likely to be treated as earning business income.
The value received from the sale of NFTs would therefore be subject to the standard 20% income tax rate. As of 2026, Armenia has not issued clear VAT guidance for NFT transactions, although most cryptocurrency transactions are currently outside the VAT system.
Reporting Requirements
Crypto-related income that is classified as entrepreneurial must be reported through Armenia’s standard personal income tax reporting process. Individuals engaged in business activities involving crypto must declare their income in annual tax filings submitted to the State Revenue Committee.
When crypto is received as payment for services or employment, the value must generally be reported in Armenian dram using the fair market value of the cryptocurrency at the time of receipt. Because the tax code does not provide explicit valuation rules for crypto-assets, taxpayers are expected to use reasonable and verifiable market prices from exchanges or other widely recognized pricing sources.
Taxpayers should maintain detailed records of all cryptocurrency transactions. Relevant documentation includes wallet addresses, exchange transaction histories, purchase and sale prices, timestamps, and supporting records of market values used for conversions into Armenian dram.
The Armenian authorities have not yet announced a formal crypto-specific reporting regime or exchange data-matching program. However, as the regulatory framework introduced by the Law on Cryptoassets (2025) develops, reporting obligations may expand and enforcement mechanisms may become more structured, potentially leading to clearer guidelines on what constitutes taxable crypto income and the specific penalties for non-compliance.
Penalties
Failure to report taxable crypto income in Armenia may result in penalties under the general provisions of the Tax Code of the Republic of Armenia. Penalties typically apply where income has been underreported, taxes have not been paid, or required declarations have not been submitted.
The level of penalties generally depends on the nature of the violation. Administrative fines may apply to late filing or reporting errors, while more serious cases involving deliberate tax evasion may attract higher financial penalties. Interest is also charged on unpaid tax from the date the liability originally arose.
Voluntary disclosure can reduce the risk of higher penalties. Taxpayers who identify errors in previous filings are generally encouraged to correct them promptly through amended returns submitted to the State Revenue Committee.
