In Azerbaijan, companies engaged in business activities are required to pay various taxes. The main ones are:

1. Corporate tax

Rate: 20% of taxable profit.

What is taxed: the difference between the company's revenue and its business-related expenses.

Payment deadlines: quarterly advance payments, and a final payment at the end of the year.

2. Value Added Tax (VAT)

Rate: standard - 18%.

Who is required to pay: companies with an annual turnover of more than 200,000 manats.

Reporting deadlines: monthly.

3. Simplified tax

Rate:

2% for companies engaged in trade.

4% for other types of activities.

Who pays: companies with a turnover of up to 200,000 manats per year (if they are not VAT payers).

4. Employee income tax (PIT)

In Azerbaijan, a preferential tax regime has been in effect for private sector employees outside the oil and gas industry since January 1, 2019. Under this regime, monthly income of up to 8,000 manat is exempt from income tax for up to 7 years. Income exceeding 8,000 manat is taxed at a rate of 14% of the excess amount. For oil and gas and public sector employees, the standard income tax is 14% for income up to 2,500 manat and 25% for income exceeding this amount.

In addition, there are certain tax exemptions and deductions, such as a standard deduction of 200 manat for residents, as well as additional deductions for individuals with dependent children or other dependents.

Please note that tax legislation may change, so it is recommended to check the latest updates on the official website of the Tax Service of Azerbaijan or consult a tax specialist.

5. Social contributions and health insurance

Social tax:

For employees in the private sector - 22% (employer) + 3% (employee).

Compulsory health insurance:

2% of the employee's salary (paid equally by the employee and employer).

6. Excise taxes

Paid upon production or import of certain goods (alcohol, tobacco, petroleum products, cars, etc.).

7. Property tax

Rate: 1% of the residual value of fixed assets.

Who pays: companies that own real estate or other assets.

8. Land tax

Paid by land owners depending on the area and category of land.

We try to make the interaction convenient for you, so we offer several consultation formats:

• Personal meetings in our office or at your place (by arrangement)
• Online consultations via Whatsapp, Telegram, Zoom, Skype or other convenient for you platforms
• Telephone consultations
• Responses by email or messengers

If you find a special format convenient, just let us know and we will select the best option.

We provide advice on a wide range of tax issues, including:

• Value Added Tax (VAT);
• Corporate income tax;
• Personal income tax and payroll taxes;
• Property taxes (land, transport, property tax);
• Simplified tax system and other special tax regimes;
• International taxation;
• Tax planning, benefits and deductions;
• Preparation and verification of tax reporting.

Our specialists provide consultations in Azerbaijani language, and if necessary, we can also provide consultations in Russian and English. 

We understand that taxes are a complex topic, so we try to explain everything as clearly as possible, without unnecessary complex terms.

Yes, we provide a full range of accounting and tax services, including accounting, tax calculation, preparation and submission of reports. 

We work with both small companies and individual entrepreneurs, as well as large businesses. If you need one-time support or full turnkey accounting, we are ready to help.

In most cases, yes! 

If your question is urgent, we will try to find a free window for you on the same day or as soon as possible.

It is best to contact us in advance by phone or via messengers to clarify the available time.

Yes, of course! 

Tax consulting is one of the key areas of our work. We help to understand tax issues, optimize the tax burden and avoid possible errors in calculations and reporting. 

Whether you need a one-time consultation or ongoing support, we are always ready to help.