From January 1, 2023, the amount of VAT refunded to consumers has been increased from 15 percent to 17.5 percent for non-cash transactions, and reduced from 10 percent to 5 percent for cash transactions. The main purpose of this change to the Tax Code is to reduce the scope of the “shadow economy”, to make transactions transparent and to further expand cashless transactions. The State Tax Service under the Ministry of Economy continues to educate citizens about the advantages of using contactless payments and the efficiency of using cashless payments. In this direction Educational posters have been installed in different areas and regions of Baku city.It is planned to continue the measures aimed at increasing the level of awareness of the citizens about the “VAT Back” project.
Source: gov.az
