BAKU, Azerbaijan, June 12. Tax revenues collected through the State Tax Service under Azerbaijan's Ministry of Economy exceeded forecasts in 2025, with the largest contribution coming from the oil and gas sector, particularly the Shah Deniz project, according to the Chamber of Accounts.
The findings were included in the Chamber's opinion on the draft law "On the Execution of the State Budget for 2025."
State budget revenues collected through the State Tax Service totaled 16.36 billion manats ($9.62 billion) in 2025, exceeding the forecast of 15.5 billion manats ($9.12 billion) by 855.2 million manats ($503 million), or 5.5%. The figure was also 547.2 million manats ($322 million), or 3.5%, higher than in 2024.
According to the Chamber, the increase was primarily driven by corporate income tax and value-added tax (VAT) receipts generated in the oil and gas sector, particularly within the Shah Deniz natural gas project.
Profit tax revenues from contractor companies operating under production-sharing agreements in the oil and gas sector reached 2.55 billion manats ($1.50 billion), surpassing the forecast by 602 million manats ($354 million), or 30.9%. The Chamber said revenues generated by the Shah Deniz project accounted for a significant share of that increase.
Tax revenues from the non-oil sector collected through the State Tax Service amounted to 12.01 billion manats ($7.06 billion), exceeding projections by 337.8 million manats ($199 million), or 2.9%.
The report noted that revenues from seven of the state's 13 tax and revenue categories exceeded forecasts by a combined 408 million manats ($240 million), or 13.9%. At the same time, six categories recorded a combined shortfall of 1.26 billion manats ($743 million), or 10.1%, primarily related to VAT, profit tax and other tax revenues.
The Chamber also cited a higher-than-expected average natural gas selling price, which was 26.4% above forecast in 2025, as well as fiscal stimulus measures, as key factors supporting VAT revenue growth.
The number of active taxpayers continued to increase during the year, reaching 860,000 as of Jan. 1, 2026, according to the report.
