BAKU, Azerbaijan, November 4. Electric cars will be subject to VAT in Azerbaijan from next year, Chairman of the State Customs Committee, Shahin Baghirov, said during the discussion of the draft law "On the State budget of Azerbaijan for 2026", at today's meeting of the Parliamentary Committee on Economic Policy, Industry, and Entrepreneurship, Trend reports.
"Our budget revenues are mainly formed from VAT. During the first 10 months of 2025, 1,760 electric cars were imported into the country. This is a very small number because in 2024, the figure was 3,027. This is a sign that people in society are not interested in electric cars.
More cars equipped with internal combustion engines were imported. Even if the VAT exemption was canceled, it was already applied for 5 years, but there are no new exemptions from duties here.
On the contrary, the duty limits for cars with internal combustion engines are gradually increasing. The introduction of VAT will have a positive impact on local electric car production in one way or another," Baghirov emphasized.
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