LAW OF THE REPUBLIC OF ARMENIA ON NON-CASH OPERATIONS

LAW

OF THE REPUBLIC OF ARMENIA

Adopted on 18 January 2022

ON NON-CASH OPERATIONS

CHAPTER 1

GENERAL PROVISIONS

1. This Law shall regulate relations pertaining to non-cash payments made against transactions for alienation of goods, alienation of property, use of goods, use of property, performance of works and provision of services, salaries, scholarships, pensions, allowances, borrowings, representation expenses in the territory of the Republic of Armenia, and those made for the purpose of secondment, as well as other relations pertaining to non-cash operations.

1. This Law shall extend to natural persons staying in the territory of the Republic of Armenia, organisations, foreign organisations operating in the territory of the Republic of Armenia, separated sub-divisions of foreign organisations operating in the territory of the Republic of Armenia, individual entrepreneurs, notaries, advocates, bodies of state administration system and local self-government bodies.

2. This Law shall extend to transactions concluded (in written and verbal form) in the territory of the Republic of Armenia and providing for actual payment (actually paid) against them in the territory of the Republic of Armenia, as well as transactions concluded outside the territory of the Republic of Armenia though providing for a payment (actually paid) in the territory of the Republic of Armenia.

1. The main concepts used in this Law shall have the following meaning:

(1) non-cash operation (payment) — payment initiated in cash or non-cash form, which is directed at (transferred to) the bank account of the beneficiary (payee), or a payment initiated in non-cash form which is directed at (transferred to) the electronic money account of the beneficiary (payee). Moreover, a payment (transfer) made from the bank or electronic money account of the initiator shall be deemed to be a payment initiated in non-cash form;

(2) stall — a type of trade object prescribed by the Law “On trade and services”;

(3) salary — salary prescribed by the Labour Code of the Republic of Armenia and payments having equal effect, as well as contractual income prescribed by the Law “On funded pensions”;

(4) cash operation (payment) — a payment prescribed by this Code, not considered as non-cash payment;

(5) cash —the currency of the Republic of Armenia and foreign currency, in the form of banknotes or coins;

(6) natural person — a citizen of the Republic of Armenia, a foreign citizen, dual citizen, and a stateless person;

(7) organisation — a legal person established (having obtained state registration, record-registered) in the territory of the Republic of Armenia, a separated sub-division and an institution thereof operating in the territory of the Republic of Armenia, a foreign organisation, and a separated sub-division of a foreign organisation operating in the territory of the Republic of Armenia;

(8) devices accepting a payment card or other payment tools used on the basis of payment technologies — a POS terminal and other similar devices which have the functionality to accept non-cash payments;

(9) individual entrepreneur — bearing the meaning prescribed by the Law of the Republic of Armenia “On individual entrepreneur”;

(10) notary — bearing the meaning prescribed by the Law “On notarial profession”;

(11) electronic money, payment card, payment tool — bearing the meaning prescribed by the Law “On payment and settlement systems and payment and settlement organisations”;

(12) advocate — bearing the meaning prescribed by the Law “On the profession of advocate”;

(13) bodies of state administration system — bearing the meaning prescribed by the Law “On bodies of state administration system”;

(14) local self-government bodies — bearing the meaning prescribed by the Law “On local self-government bodies”;

(15) bank — bearing the meaning prescribed by the Law “On banks and banking”;

(16) insurance company — bearing the meaning prescribed by the Law “On insurance and insurance activities”;

(17) credit organisation — bearing the meaning prescribed by the Law “On credit organisations”;

(18) pawn shop — bearing the meaning prescribed by the Law “On pawn shops and pawn shop activities”.

(19) crypto-asset service provider — bearing the meaning prescribed by the Law “On crypto-assets”.

(Article 3 supplemented by HO-160-N of 29 May 2025)

1. From 1 July 2022, payment and receipt of payments exceeding 300,000 Armenian Drams, by individual entrepreneurs and organisations in the territory of the Republic of Armenia, against alienation of goods, alienation of property, use of goods, use of property, performance of works and provision of services, payment of passive income prescribed by the Tax Code of the Republic of Armenia, transactions for the provision and receipt of borrowings, where one party thereto is a natural person, shall be carried out in non-cash form, irrespective of the procedure for payment, unless lower thresholds for the payment against these transactions and other exceptions are provided for by this Law and other laws. Transactions for acquisition of goods formulated in VAT return account, written off by foreign citizens and stateless persons as prescribed in retail trade, shall form an exception as well, against which the maximum amount of accepting funds in cash in the territory of the Republic of Armenia shall not be applied.

2․ Payment and receipt of payment against any transaction carried out between foreign organisations and individual entrepreneurs, notaries, advocates, organisations, natural persons of the Republic of Armenia shall be made in non-cash form, irrespective of the procedure for payment, where the payment or receipt of payment is made in the territory of the Republic of Armenia.

3․ Acceptance of payments for the provision of advocates services, as well as all consultative (accounting, audit, legal, financial, information technologies and other consultative) services shall be carried out in non-cash form, unless otherwise provided for by legislation.

4. Acceptance of payments for notarial operations performed or services provided by notary shall be carried out in non-cash form. The notary shall charge the state duty for performing notarial operations in non-cash form, unless otherwise provided for by legislation.

5. Payment and receipt of payment against any transaction carried out between individual entrepreneurs, notaries, advocates and organisations in the territory of the Republic of Armenia shall be carried out in non-cash form, irrespective of the procedure for payment.

6. Loans and borrowings extended by banks and credit organisations shall be provided exceptionally in non-cash form. Banks may accept and return deposits (including interests) also in cash, unless otherwise provided for by the Civil Code of the Republic of Armenia or by contract. Loans extended by banks and credit organisations may be repaid (returned) also in cash, unless otherwise provided for by the Civil Code of the Republic of Armenia or by contract, whereas borrowings extended by banks and credit organisations shall be repaid (returned) exceptionally in non-cash form.

7. Loans shall be extended by pawn shops exceptionally in non-cash form: from 1 July 2022 — loans extended in the amount exceeding 80,000 Armenian Drams, from 1 January 2023 — loans extended in the amount exceeding 50,000 Armenian Drams, from 1 January 2024 — loans extended in the amount exceeding 20,000 Armenian Drams.

8. Organisations, individual entrepreneurs, notaries and advocates shall not have the right to offer and (or) receive — in transactions (contracts) or transaction (contract) offers for alienation of goods, alienation of property, use of goods, use of property, performance of works and provision of services providing for non-cash payment — a price (value) higher than that offered and (or) received in transactions (contracts) or transaction (contract) offers for alienation of goods, alienation of property, use of goods, use of property, performance of works and provision of services providing for cash payment.

9. The Central Bank may prescribe by its regulatory legal acts the maximum and minimum thresholds for commissions for non-cash transactions prescribed by this Law, as well as the cases, procedure and conditions for the payment thereof.

1․ From 1 July 2022, payment and receipt of payment exceeding 500,000 Armenian Drams between natural persons in the territory of the Republic of Armenia against all transactions, where the rights arising as a result thereof are subject to mandatory registration, shall be carried out in non-cash form, irrespective of the procedure for payment, unless lower thresholds for payment against these transactions are provided for by other laws, as well as extension and receipt of borrowings exceeding 300,000 Armenian Drams shall be carried out in non-cash form.

2․ From 1 July 2023, payment and receipt of payment exceeding 300,000 Armenian Drams between natural persons in the territory of the Republic of Armenia shall be carried out in non-cash form for all transactions.

1. Salaries prescribed by law or employment contract shall be paid in non-cash form by organisations, individual entrepreneurs, advocates and notaries carrying out activities in the city of Yerevan, from 1 July 2022, by organisations, individual entrepreneurs, advocates and notaries carrying out activities in administrative centres of the marzes of the Republic of Armenia —from 1 July 2023, and by organisations, individual entrepreneurs, advocates and notaries carrying out activities in other settlements of the Republic of Armenia — from 1 July 2024. Upon written application of a person having disability, the salary of the latter may be paid in cash.

2. Payments made from and to the State Budget or community budgets shall be carried out in non-cash form. The Government may prescribe the types of payments forming and exception from this part and the list of separate categories of those receiving such payments, that may pay or whereto payment may be made in cash.

3. Scholarships, payments made against representation expenses, payments made for the purpose of secondment, payments related to public procurement shall be made in non-cash form by individual entrepreneurs and organisations carrying out activities in the city of Yerevan, from 1 July 2022, by organisations and individual entrepreneurs carrying out activities in administrative centres of the marzes of the Republic of Armenia — from 1 July 2023, and by organisations and individual entrepreneurs carrying out activities in other settlements — from 1 July 2024.

4. Payments shall be accepted in non-cash form against all medical services provided in medical organisations (institutions) carrying out activities in the city of Yerevan, from 1 July 2022, in the administrative centres of the marzes of the Republic of Armenia — from 1 July 2023, in other settlements — from 1 July 2024.

5. Payments shall be accepted in non-cash form against all educational services provided in educational (including higher educational) institutions carrying out activities in the city of Yerevan, from 1 July 2022, in the administrative centres of the marzes of the Republic of Armenia — from 1 July 2023, in other settlements — from 1 July 2024.

6․ Insurance compensations shall be made in non-cash form.

7. Starting from 1 July 2022, state and local self-government bodies shall carry out all operations (making payments and receiving payments) related to the activities thereof in non-cash form, except for the cases prescribed by the Government.

8. Pensions, state allowances and other monetary payments made under the procedure prescribed for pensions, as well as care allowance shall be paid as prescribed by the Law “On state pensions” and the Law “On state allowances”. Exceptions on the payment, in cash, of pensions, state allowances and other monetary payments made under the procedure prescribed for pensions, as well as care allowance referred to in the Law “On state pensions” and the Law “On state allowances”, may be prescribed under joint regulatory legal acts of the Central Bank and the Ministry of Labour and Social Affairs.

(Article 6 amended by HO-81-N of 7 February 2024)

(Article in respect of the supplement to Law HO-395-N of 24 October 2024 shall enter into force on 1 January 2026)

1. A transaction (contract) split up (divided into two or more parts) for the purpose of evading the requirements of this Law and not fulfilling them shall be deemed to be one single transaction (contract) within the meaning of this Law, and the provisions of this Law shall extend thereto.

2. Failure to comply with the requirements of Articles 4 or 5 of this Law, including in case of transactions (contracts) forming a part of the transaction (contract) provided for by part 1 of this Article, shall lead to the invalidity of the transaction (contract). Such transaction (contract) shall be null and void.

(Article 7 supplemented and edited by HO-269-N of 9 June 2022)

1. When making the payments, in foreign currency, prescribed by this Law, except for the payments made via card or other payment tools applied on the basis of payment technologies, the calculation thereof shall be made for the purposes prescribed by this Law, by taking as a basis the average exchange rate defined and published by the Central Bank, unless otherwise provided for by contract.

1. Entities bearing the obligation to apply cash register machines, prescribed by the Tax Code of the Republic of Armenia, as well as those carrying out the sales of tickets for passenger transportation by air transport must mandatorily ensure, except for stalls, the acceptance of non-cash payments via payment cards, if the customer so wishes. The mentioned entities, in addition to the acceptance of non-cash payments via payment cards, may ensure, if they so wish, the acceptance of non-cash payment via other payment tools applied on the basis of payment technologies as well.

2. The Government may prescribe the list of the state bodies and local self-government bodies, as well as entities not specified in part 1 of this Article, which must mandatorily install and use devices accepting payment cards or other payment tools applied on the basis of payment technologies.

3. In case of malfunctioning of devices accepting payment cards or other payment tools applied on the basis of payment technologies, the entities specified in parts 1 and 2 of this Article shall be obliged to repair or replace the given device within two working days, unless other short time limits are provided for by regulatory legal acts of the Central Bank. Where the acceptance of payment via payment cards or other payment tools applied on the basis of payment technologies is carried out via the application of cash register machines, the entities specified in parts 1 and 2 of this Article must, in case of malfunctioning thereof, be guided by the rules approved upon the decision of the Government.

4. Maintenance of devices accepting payment cards or other payment tools applied on the basis of payment technologies shall be carried out as prescribed by the legislation of the Republic of Armenia and (or) relevant contracts.

5. Exchange of information on the devices accepting payment cards or other payment tools applied on the basis of payment technologies and (or) cash register machines, as well as other information related to non-cash operations between the Central Bank and the State Revenue Committee of the Republic of Armenia shall be carried out under the joint regulatory legal act of the Central Bank and the State Revenue Committee of the Republic of Armenia.

(Article 9 edited by HO-269-N of 9 June 2022)

CHAPTER 2

SUPERVISION AND LIABILITY

1. Supervision over the observance, by organisations, individual entrepreneurs, advocates, natural persons and notaries, of the requirements of this Law or regulatory legal acts adopted on the basis thereof, shall be exercised and sanctions shall be imposed by the State Revenue Committee of the Republic of Armenia, except for supervision over the persons licensed, registered and (or) supervised by the Central Bank and the cases of violation of the requirements of other regulatory legal acts containing norms of labour legislation and labour law. Moreover, in case of transactions between organisations, individual entrepreneurs, notaries and advocates, violation of the requirements of this Law or regulatory legal acts adopted on the basis thereof shall entail liability for all parties to the transaction, and in case of transactions between organisations, individual entrepreneurs, notaries, advocates and natural persons, liability shall arise only for organisations, individual entrepreneurs, advocates and notaries, except for the cases of violation of the requirements of other regulatory legal acts containing norms of labour legislation and labour law.

2. Supervision over the observance, by persons licensed, registered and (or) supervised by the Central Bank, of the requirements of this Law or regulatory legal acts adopted on the basis thereof, shall be exercised and sanctions shall be imposed by the Central Bank, as prescribed by law.

3. Supervision over the observance of the requirements of this Law or regulatory legal acts adopted on the basis thereof, which contain norms of labour legislation and labour law, shall be exercised and sanctions shall be imposed by the Healthcare and Labour Inspection Body of the Republic of Armenia.

1․ In case of violation, by organisations, individual entrepreneurs, advocates and notaries, of the requirements of this Law or regulatory legal acts adopted on the basis thereof, except for the norms which contain norms of labour legislation and labour law, liability prescribed by the Tax Code of the Republic of Armenia shall be imposed, and in case of violation, by natural persons, of the requirements of this Law or regulatory legal acts adopted on the basis thereof, sanctions prescribed by the Administrative Offences Code of the Republic of Armenia shall be imposed.

2. In case of violation, by organisations, individual entrepreneurs, advocates, notaries and natural persons, of the requirements of this Law or regulatory legal acts adopted on the basis thereof, which contain norms of labour legislation and labour law, sanctions prescribed by the Administrative Offences Code of the Republic of Armenia shall be imposed.

1. This Law shall enter into force on 1 July 2022 and shall extend to legal relations having arisen after the entry into force of this Law.

Date of official promulgation: 8 February 2022.

Translation published on a joint site 19 February 2026.