As of 26 August 2026, the State Revenue Committee of Armenia released preliminary results from its tax compliance improvement programme targeting the furniture manufacturing sector. The initiative, launched in early 2025, combines advisory visits, risk‑based audits and simplified reporting tools to encourage voluntary compliance among small and medium‑sized enterprises. According to the Committee’s first‑half 2026 analysis, the sector has shown marked improvement in key performance indicators, reflecting both higher tax contributions and better record‑keeping practices. The programme aligns with the Government’s broader medium‑term revenue strategy, which seeks to reduce the informal economy by 15 % by 2028 through sector‑specific outreach.
Key Takeaways
- Turnover Growth Accelerates: The average annual growth rate of turnover for furniture manufacturers rose from 3.1 % in the first half of 2024‑2025 to 26.7 % in the same period of 2025‑2026, an increase of approximately 23.6 percentage points. This outpaced both the overall Armenian business turnover growth of 19 % and the national GDP growth of 7.9 % recorded for the first half of 2026.
- Improved Documentation Practices: The share of enterprises submitting properly calculated financial statements increased from 9.6 % in the first half of 2024‑2025 to 12.3 % in the first half of 2025‑2026. Simultaneously, the growth rate of registered cash‑register (HDM) devices rose from around 7 % to 12 %, indicating broader adoption of mandatory fiscalisation tools among small traders.
- Employment and Wage Gains: Average headcount per firm grew from 5.9 % to 6.6 % year‑on‑year, while average monthly wages per employee rose from 7.8 % to 8.6 %. These trends suggest that improved tax compliance is correlating with stronger labour market outcomes and greater business confidence in the furniture sector.
Disclaimer:This article is compiled and summarized based on publicly available information and is for general information and academic exchange purposes only. It does not constitute any form of formal tax advice, legal opinion, or basis for performance. For tax planning, please consult a qualified professional tax advisor or legal counsel.
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