Illegal entrepreneurship is defined as conducting¬†business activities without state registration or without obtaining a license, if required. State registration is not required, however, for small entrepreneurs paying “patent fees” and agricultural workers.

There are multiple penalties for illegal entrepreneurship prescribed by criminal, administrative and tax laws:

  • Administrative fine of AMD 15,000 – 30,000 (USD 32-64);
  • Tax fine in the amount of 50% of the illegal turnover, as assessed by the tax authorities;
  • Criminal fine of AMD 500,000 to 2 million (USD 1,060 to 4,260) or imprisonment for up to 6¬†years.

By | 2015-10-04T17:58:52+00:00 October 4th, 2015|Business Law|Comments Off on Illegal Entrepreneurship

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