On customs duties applied in the Republic of Armenia, their percentage rates, types, exceptions, and problems
Customs duties are mandatory payments paid to the state budget in the manner and amount established by law.
In the Republic of Armenia, depending on the nature of the transaction, the following customs duties are applied:
a) export - paid for goods exported from the customs territory of the Republic of Armenia.
b) import - paid for goods imported into the customs territory of the Republic of Armenia.
c) seasonal - paid for the export of certain goods from the customs territory of the Republic of Armenia or the import of such goods into this territory during certain periods of the year.
In the Republic of Armenia, the following customs duties are applied according to the calculation method:
a) ad valorem (on value added) - calculated as a percentage of the customs value of taxable goods.
b) specific (fixed) - calculated at a fixed rate per unit of measurement of taxable goods.
c) mixed - ad valorem (on value added) and specific (fixed) customs duties are combined.
Customs value of imported goods
1. Calculation of customs duties on imported goods is carried out based on customs value, i.e., the amount paid, payable, or payable for the acquisition of goods and their transportation to the customs border of the Republic of Armenia.
2. Customs value includes:
a) the purchase price of goods in the country of export.
b) the costs of transportation, loading, unloading, transshipment, and insurance incurred during their transportation to the customs border of the Republic of Armenia.
c) commission and intermediary (brokerage) costs incurred during the acquisition of goods in the country of export and their transportation to the customs border of the Republic of Armenia.
d) the cost of:
- materials, components, and other similar items included in the goods, provided by the importer to the supplier directly or indirectly to produce the imported goods and export them to the Republic of Armenia, free of charge or with partial compensation:
- The cost of tools and other similar items used in the production of the goods.
- The cost of materials used in the production of the goods.
- The cost of engineering, design, planning, and other similar works necessary for the production of the goods and performed outside the Republic of Armenia.
e) payments for royalties and permits necessary for the sale of the imported goods, subject to direct or indirect payment by the importer.
3. The customs value does not include:
a) value added, excise taxes, turnover or sales taxes paid (payable) in the country of export and separately indicated in the payment documents.
b) transportation, loading and unloading, transshipment, insurance, commission, and intermediary (brokerage) expenses incurred in the customs territory of the Republic of Armenia.
Customs value of exported goods
1. Calculation of customs duties on exported goods is carried out based on customs value, i.e., the amount paid, payable, or payable for their acquisition in the customs territory of the Republic of Armenia and their transportation to the customs border of the Republic of Armenia.
2. Customs value includes:
a) the purchase price of the goods.
b) the costs of transportation, loading, unloading, transshipment, and insurance incurred during their transportation to the customs border of the Republic of Armenia.
c) commission and intermediary (brokerage) costs incurred during the acquisition of the goods in the customs territory of the Republic of Armenia and their transportation to the customs border.
d) the cost of:
- materials, components, and other similar items included in the composition of the goods for production and export of the goods, provided by the exporter directly or indirectly, free of charge or for partial compensation:
- The cost of tools and other similar items used in the production of the goods.
- The cost of materials consumed in the production of the goods.
- The cost of engineering, design, planning, and other similar works necessary for the production of goods and performed in the Republic of Armenia.
d) payments for royalties and permits necessary for the sale of exported goods, paid directly or indirectly by the exporter.
3. The customs value does not include value added tax and excise tax paid (payable) in the Republic of Armenia and separately indicated in the payment documents.
Determination of customs value
1. The customs value shall be determined by the declarant (importer or exporter) or by the customs authorities in the cases and in the manner prescribed by this Law.
2. Persons declaring an unreal customs value using documents recognized as false in the manner prescribed by the Government of the Republic of Armenia shall be liable in the manner specified by law.
Calculation and payment of customs duties
1. The customs authorities of the Republic of Armenia shall calculate customs duties at the current customs duty rates as of the date of submission of the declaration.
2. Payment of customs duties shall be made within ten days from the date of movement of goods across the customs border of the Republic of Armenia in the manner prescribed by the Government of the Republic of Armenia.
3. Customs duties shall be paid in the official currency of the Republic of Armenia, drams.
4. If the declarant disagrees with the conclusion of rejection issued by the customs authorities, he may submit to the customs authority that issued the conclusion a bank statement provided for in paragraph 11 of Article 12 of this Law. The guarantee and make payments by the procedure specified in that clause.
For details of the law and customs duty rates, please visit:
https://www.arlis.am/documentview.aspx?docid=613
