Azerbaijan Approves Tax Exemption for VAT Cash-Back Mechanism

• Azerbaijan has approved a privilege in connection with the VAT cash-back mechanism
• The amendment to the Tax Code was discussed and approved at a meeting of Azerbaijan’s Milli Majlis
• The income received under the VAT cash-back mechanism will not be taxed
• Tax on these incomes was not applied in 2023 and previous years
• The legal basis for exempting these incomes from tax is being formed
• The VAT cash-back mechanism refunds a percentage of VAT paid in various sectors
• The amendment was approved in the third reading after discussion.

Source: en.trend.az

Note that this post was (partially) written with the help of AI. It is always useful to review the original source material, and where needed to obtain (local) advice from a specialist.

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