Expense Reimbursement Policy in Armenia



Modified on: Fri, 3 Oct, 2025 at 3:30 PM

TABLE OF CONTENTS



This policy outlines the rules and documentation requirements for reimbursing business-related expenses incurred by employees working in or traveling to Armenia.


Invoicing & Documentation


To qualify for tax-free reimbursement, the following documentation is required:

  • Business Trip Certificate authorizing the travel
  • Employee Expense Report: Expense reports and receipts must be submitted within 3 working days of completing the trip
  • Original fiscal receipts for all expenses
  • Fiscal receipts are mandatory for every expense, regardless of amount.  All expenses must have a clear and justified business purpose.
  • Non-Cash Benefits: Must be handled with caution, as they are typically taxable for the employee


  • Company Name Requirement:
  • All receipts must be issued in the name of Horizons:

Horizons Global Technology Armenia LLC Tax code:

01042608 264.110.1255633



Reimbursement & Taxability

  • Tax-Free Expenses (with proper documentation):

    • Transportation tickets
    • Hotel accommodation
    • Business-related communication costs
    • Parking and tolls
    • Official daily allowance

  • Per Diems:

    • National Rate (2025): 12,000 AMD/day
    • International Rates: Published annually by the Ministry of Labor and Social Affairs
      (based on UN rates and vary by destination).
    • Amounts paid above the official caps are considered taxable income.


Travel & Mileage

  • Mileage Reimbursement:
    Armenia does not have a legally defined per-kilometer rate for private car use. Reimbursement is based on actual public transport costs (e.g., bus, train tickets).

  • Parking & Tolls:
    These are treated as separate business expenses and must be supported by original fiscal receipts. They are not included in mileage logs or per diem allowances.


Business Travel Caps

  • Domestic Travel:

    • Per Diem: 12,000 AMD/day
    • Lodging Cap: 25,000 AMD/day in Yerevan; 20,000 AMD/day in other regions

  • International Travel:

    • Daily allowance and lodging caps are set annually by the government based on UN rates
    • These serve as the maximum tax-free reimbursement limits


Travel-Specific Rules

  • All transportation costs (air, bus, train, taxi) are reimbursable with valid tickets or fiscal receipts
  • Electronic ride-hailing services (e.g., Bolt, GG) are permitted for business travel within Armenia


Client Entertainment & Gifts

  • Deductible for the company
  • Taxable for the employee if the benefit is non-cash (e.g., gifts, meals)


Health & Wellness

  • Not deductible: Gym memberships, therapy, yoga, etc.
  • Exception: Company-provided voluntary health insurance may be tax-free under specific conditions




Was this article helpful?

That’s Great!

Thank you for your feedback

Sorry! We couldn't be helpful

Thank you for your feedback

Let us know how can we improve this article!

Select at least one of the reasons
CAPTCHA verification is required.

Feedback sent

We appreciate your effort and will try to fix the article



Related Articles