Three Businesses, One LLC, Two Tax Rates
Erik Khachaturyan β IT Professional, Individual Entrepreneur
I was running three different lines of work under one entity β IT development, reselling, and export operations. Each one generated revenue. Each one was taxed differently. And for a long time, I was paying a flat rate across everything because nobody had sat down with me and explained that I didn't have to.
Armenia's 1% preferential tax regime for IT professionals is real, but it's narrow. It applies to qualifying IT activity β not to everything an IT person happens to do. My reselling and export income fell under a different category entirely, subject to the standard 10% turnover tax. The mistake wasn't that I was doing multiple things. The mistake was that my invoicing treated them all the same.
When I came to Documan, I wasn't even sure what question to ask. I just knew my tax situation felt wrong and I couldn't get a straight answer from anyone.
They went through my business activities line by line. The diagnosis was straightforward once someone actually looked: my invoices weren't separated by business type, which meant the tax authority had no basis to apply different rates. Everything was being lumped together.
Documan restructured my invoicing β IT development billed separately, reselling and export each categorized correctly. No new entity, no major overhaul. Just clarity applied to paperwork that had been vague for too long.
After that, I paid 1% on my IT income and the appropriate rate on the rest. Exactly what the law intended.
β Erik Khachaturyan
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