BAKU, Azerbaijan, May 8. The State Tax Service (STS) under Azerbaijan’s Ministry of Economy is continuing efforts to expand taxation in the e-commerce sector by registering foreign digital service providers for value-added tax (VAT) purposes as part of ongoing reforms, Trend reports citing STS.
Three additional international companies were electronically registered through the agency’s online portal in 2026.
The newly registered companies are Switzerland-based Epic Games Commerce GmbH, Germany’s Contabo GmbH, and U.S.-based Chess.com LLC. This brings the total number of non-resident digital service providers registered electronically for VAT purposes to 10.
The registration means that individuals purchasing services from these companies will no longer be subject to additional VAT charges withheld by banks. Under Articles 33.8-1 and 169.8 of the Tax Code, banks will no longer calculate and collect extra VAT amounts from customers’ funds when payments are made to these companies.
The STS noted that the VAT registration process for non-resident companies has been carried out since last year through a dedicated portal created within the agency’s Internet Tax Administration system. Developed in line with international practices, the portal is designed to provide multinational e-commerce companies with remote and simplified tax registration options while ensuring the declaration and payment of VAT obligations in countries where they operate and generate economic value.
The State Tax Service said it continues to implement measures to ensure the sustainability of the process. The initiative is considered important for expanding the tax base in digital services, improving tax administration, and promoting a fair competitive environment.
