BAKU, Azerbaijan, April 22
By Eldar Janashvili - Trend:
The taxes that are paid from a source of payment for renting real estate is proposed to be reduced for individuals in Azerbaijan from 14 percent to 7 percent, Trend reports on April 22 referring to the Azerbaijani Taxes Ministry.
In accordance with the Action Plan approved upon the resolution of the Cabinet of Ministers on April 4, 2020, the Azerbaijani Ministry of Taxes has been charged with providing entrepreneurs working in the spheres affected by the pandemic with tax benefits.
Other aspects of reducing the tax and administrative burden of taxpayers working in the districts affected by the coronavirus pandemic include the exemption from current taxes for one year and issuing certificates about current tax payments, extension of the deadline for paying the last tax for 2019 until September 1, 2020; extension of the deadline for payment of income tax and property tax of taxpayers who are not entrepreneurs working in microenterprises till September 1, 2020 and accrual of interest on unpaid taxes, mandatory state social insurance and unemployment insurance contributions from April 1, 2020 through January 1, 2021.
Moreover, the right for choosing a simplified taxation method for individuals involved in VAT registered catering is planned to be extended from April 20 through September 1, 2020.
The package of proposals on tax incentives was widely discussed with the state structures, public organizations of entrepreneurs, including the National Confederation of Entrepreneurs (Employers’) Organizations, the Azerbaijan Banks Association, as well as with business entities operating in individual sectors within the working group, created to assess the negative impact of the coronavirus pandemic (COVID-19) on the national economy.
In this regard, the Azerbaijani Ministry of Economy prepared the proposals on the necessary amendments to the Tax Code and the Azerbaijani law "On Social Insurance". After re-consideration in the government, draft documents included in the package of proposals were submitted to the Azerbaijani parliament.
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