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Armenia to Forgive $3.5 Million in Debts for Over 5,000 Taxi Drivers Still Burdened by Fees Abolished Years Ago

NewsArmeniaArmenia to Forgive $3.5 Million in Debts for Over 5,000 Taxi Drivers Still Burdened by Fees Abolished Years Ago

Armenia’s National Assembly Standing Committee on Economic Affairs has approved a bill to pardon state duty debts and penalties accumulated by over 5,000 licensed taxi drivers between 2015 and 2019, amounting to about 1.34 billion drams (approximately $3.5 million). The proposal, introduced by Deputy Minister of Territorial Administration and Infrastructure Armen Simonyan, will now advance to the full parliament for consideration.

The amendment to the Law on State Duty seeks to eliminate obligations that arose due to unpaid state duties, despite such payments being formally abolished in June 2015. Until 2019, however, licensing requirements remained in place, leading to a situation where nearly 11,000 individuals obtained taxi licenses, and more than 5,000 of them accumulated debts. Of the total 1.34 billion drams ($3.5 million) owed, around 927 million drams represent the principal amount in state fees, while some 415 million drams are penalties.

Simonyan emphasized that this initiative restores fairness: drivers who operated legally with licenses faced financial burdens, while those who drove without licenses had already benefited from past amnesties. He also noted that the draft law provides for the dismissal of all pending cases with the Enforcement Service, including exemptions from legal and enforcement costs.

Highlighting recent reforms, Simonyan explained that modern digital platforms—developed by the State Revenue Committee—now allow the automatic management of fees and taxes. From September 1, 2024, individuals will no longer need to manually submit applications, fill out forms, or make payments in person. Currently, over 90% of taxi orders in Armenia are processed through digital applications, making oversight and compliance significantly more efficient.

As of today, Armenia’s passenger transport sector includes 76 licensed organizations, 967 individual entrepreneurs, and around 2,400 private drivers. The government had already signaled its support for the measure on July 31, when it decided to write off 1.342 billion drams (around $3.5 million) in such debts.

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