Tax Administration Modernization and Institutional Reform in Armenia

Author :

Ric Parma

Strategic leadership and hands-on management were provided for the Armenian Tax Improvement Program (ATIP), a comprehensive initiative that reorganized and modernized the Armenian State Tax Service following nearly a decade of stagnant tax-to-GDP performance. A sustainable turnaround was achieved, with tax-to-GDP increasing by several percentage points after implementation.

ATIP emphasized deep institutional reform through the cultivation of competing internal change agents rather than reliance on a single champion or narrow technical fixes. Organizational restructuring and change management were combined with the introduction of system-wide risk-based management, strengthened audit selection and case-management processes, advanced analytics and data-mining tools, revised reporting standards, and standardized operating procedures.