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Air transport vehicles, spare parts freed from VAT in Azerbaijan

Business Materials 27 April 2011 17:01 (UTC +04:00)

Azerbaijan, Baku, April 27/Trend, N. Ismailova

According to a Cabinet of Ministers' resolution, a number of air transport vehicles and their spare parts are now free from VAT.

The resolution was adopted with regard to a proposal submitted by the Azərbaycan Hava Yolları close joint-stock company, the economic development, finance, taxes, and justice ministries, and the State Customs Committee.

Under the resolution, the following items shall be VAT-free: new pneumatic rubber tires to be used for aviation purposes; restored pneumatic rubber tires; jet combustion engine with spark ignition and with spinning or back-and-forth motion piston; piston-type jet combusted engines with compression ignition (diesels or semi-diesels) with the power capacity of 50 to 100 kilowatts, and spares parts of these kinds of engines; turbojet and jet engines and their spare parts; helicopters with a mass of empty equipped aircraft of not more than 2,000 kilograms; helicopters with a mass of empty equipped aircraft of more than 2,000 kilograms; aircraft and other flying devices with a mass of empty equipped aircraft of not more than 2,000 kilograms; aircraft and other flying devices with a mass of empty equipped aircraft of more than 2,000 kilograms but not more than 15,000 kilograms; aircraft and other flying devices with a mass of empty equipped aircraft of more than 15,000 kilograms; propellers and rotors and their spare parts, chassis and their spare parts, other part of aircraft and helicopters, crew-designed on-ground training simulators and their spare parts; and aircraft seats and their spare parts.

The resolution shall take effect 30 days after it is published.
In Azerbaijan, the rate of the VAT is currently 18 percent.

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