Azerbaijan Introduces Mandatory VAT for Foreign Digital Service Providers and Marketplaces

• Azerbaijan is introducing mandatory VAT for digital services supplied by non-resident providers.
• The rules will apply to a wide range of electronically supplied services, including software, SaaS, streaming, online advertising, and digital platforms.
• Foreign digital service providers and platforms will be required to register for VAT, charge VAT on sales to Azerbaijani customers, and comply with local VAT filing and payment obligations.
• Businesses should start preparing by identifying Azerbaijani customers, reviewing service scope, and updating billing and tax systems for compliance.
• Global VAT Compliance (GVC) has experience with Azerbaijani VAT registration and can assist digital service providers with compliance.

Source: globalvatcompliance.com

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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