New Requirements for Automatic Exchange of Financial Account Information

Since 2023, the Republic of Armenia has joined the Common Reporting Standard (CRS) developed by the Organization for Economic Co-operation and Development (OECD). Within this framework, starting from 2025, Armenia implements the automatic exchange of financial account information with partner countries.

This year, automatic exchange of financial account information has been conducted with 47 countries (the list is attached). It is planned to expand the list of partner countries annually, ultimately collaborating with around 120 countries and territories. This will involve conducting automatic exchanges of non-resident financial account information with their tax authorities on a bilateral basis once a year.

Who is Affected by the Automatic Exchange of Information

The automatic exchange of information applies to all non-resident taxpayers (both individuals and legal entities) who have financial accounts in Armenian commercial banks or investment companies.

Information Subject to Exchange:

• New accounts: All accounts opened after January 1, 2024 (regardless of balance).
• Existing accounts, if the total balance of such financial accounts as of December 31 of the reporting year, or the total inflows/outflows during the reporting year, exceed 250,000 USD or its equivalent.

Deadline for Information Submission

Reporting financial institutions are required to submit the necessary data electronically to the Armenian tax authority by May 10 (inclusive) of the year following each tax year.
The procedure for providing information on account holders and controlling persons by financial institutions, as well as the format of the information, is defined by a joint legal act of the Tax authority and the Central Bank of the Republic of Armenia (https://www.arlis.am/hy/acts/214687).

Purpose of the Exchange

The purpose of the information exchange is to enhance tax transparency, reduce the use of offshore accounts, and ensure an increase in tax revenues. The data is exchanged exclusively for taxation purposes and does not include data on Armenian citizens.