YEREVAN, August 12. /ARKA/. About 30 thousand business entities in Armenia have failed to activate their cashless payment (POS) terminals and did not apply for their activation, Public Television of Armenia reported citing the State Revenue Committee (SRC).
This is about half of the total number of business entities which are covered by the revised law on cashless payments.
The SRC was said to have started an active administration in order to ensure that the law is observed by all. Administrative fine for nonobservance of the law is 100 thousand drams, but no one has been fined so far.
Under a new law passed by the parliament on June 9, starting July 1, 2022 all business transactions worth more than 300,000 drams (about $700) and transactions between individuals worth more than 500,000 drams (about $1,100) will have to be made electronically, either through a mobile payment app, a payment terminal or via a bank wire transfer. The limit for individuals will be reduced to 300,000 drams in July 2023.
The law applies to payments for such transactions as scholarships, public procurement, medical, educational, notary, legal and consulting services, as well as pensions, salaries and loans. Transactions made illicitly in cash can be annulled.
At the initial stage the law has come into force in Yerevan; in 2023 it will extend to regional centers, and in 2024 to the whole of Armenia. The law is part of Prime Minister Nikol Pashinyan’s government’s plan to reduce the shadow economy. ($1 – 406.09 drams). –0—
