Law of the Azerbaijan Republic
About Tax on Property
2. Physical persons pay property tax on buildings at a rate of 0,1% of their estimated cost, and on transport means at the following rates, in percents of minimum wages against each horse power unit of the engine (0,7375 kWt):
in percents of minimum wages
|Helicopters, aeroplanes, vessels||
|Launches and motor yacht||
Article 4. Privileges and exemptions in taxation
b) enterprises producing and storing agricultural goods, fish farms if their profits as a result of aforementioned activity constitute not less than 75% of total profits from sale of products (work services);
c) specialised orthopaedic enterprises;
d) educational enterprises and institutions, sport organisations, cultural institutions;
e) religious and national-cultural societies, centres, unions and organisations;
f) voluntary organisations of disabled persons and also other enterprises, companies and organisations wherein number of disabled employees is at least 70 percent of total number of employees;
g) construction companies involved in construction of houses (living premises) and country houses;
h) political parties, trade unions and public companies (except property used for business and commercial activity);
i) scientific research institutes, enterprises and organisations, scientific centres;
j) legal entities established with participation of foreign investments (concerning property contributed to the partnership fund by foreign partner).
b) parents and spouses and also children who are unable to work of persons who died as a result of invasion of Soviet Army on 20 January, 1990, military personnel who died as a result of wounds, contusions got when protecting territorial integrity of the Azerbaijan Republic, or when carrying out other obligations of military services, or died as a result of disease in connection with service at the frontier.
d) persons that in accordance with the Law of the Azerbaijan Republic «About status and social protection of persons who participated in liquidation of Chernobyl catastrophe and got injured» were granted privileges;
e) physical persons - forced migrants who obtained refugee status in accordance with established legislation, for five years;
f) people working in the sphere of culture and arts and masters of handicraft using special premises (including apartments), houses-museums, art workshops, studio and also persons who opened museums, galleries, libraries and other cultural objects in living premises, for the period of use of such objects as specified.
5. Local (district and city) state executive bodies have the right to exempt, completely of partially some poorly provided families from tax payment.
6. Changes of objects of taxation and tax rates concerning property tax for individual categories of taxpayers might be done by decisions of Supreme Council of the Azerbaijan Republic and Supreme Mejlis of Nakhichevan Autonomous Republic.
Procedure of estimation of average annual cost of the property of enterprises is established by the Cabinet of Ministers of the Azerbaijan Republic.
2. Tax on property is estimated and paid from the beginning of the year, quarterly, summing up, and at the end of the year recalculation is being done.
3. The sum of estimated tax is put to financial results of the enterprise’ activity. Tax on quarterly and annual estimates is paid within ten days from the date specified for presentation of respective accounting report.
Not later than on 1 August of every year taxation bodies sent tax bills to taxpayers.
Sum of tax is paid in equal parts, not later than on 15th of September and 15th of November.
Concerning tax on buildings being joint property, each of the owners pays tax in proportion with his share in the cost of said property.
2. Tax on transport means is estimated every year (estimate on the 1st of January) by taxation bodies based on data presented by organisations registering transport means.
Tax on transport means belonging to several physical persons is taken from the person whose name is indicated in registration form for said transport means.
3. Whenever within the year the building or transport means is estranged or passes from one owner to another as legacy, the former owner pays tax for a period from the 1st of January of current year till beginning of month wherein said owner lost his proprietary right, and new owner pays tax from the month wherein his proprietary right appeared.
4. On demolition of the building or destruction of transport means withdrawal of tax stops from the month wherein said demolition or destruction took place.
5. Whenever within the year the owner received tax privileges, sum of tax shall be recalculated from the month wherein such privileges appeared.
6. Taxpayers who were not subject to taxation in due time shall pay tax for not more than two previous years.
Inaccurately estimated sum of tax shall be recalculated for not more than two previous years.
2. Taxpayers bear responsibility for unduly and inaccurate payment of tax in accordance with existing legislation.
3. Rights of taxation bodies and their officials concerning control over observance of the present Law and application of financial and administrative sanctions for its violation, and also procedure of submitting claims are governed by the Law of the Azerbaijan Republic «About State Taxation Body».
4. Instruction on use of the present Law shall be developed and approved by the Main State Tax Inspection of the Azerbaijan Republic on agreement with the Ministry of Finances of the Azerbaijan Republic.
President of the Azerbaijan Republic
Baku, 24 March, 1995
Decree of Milli Mejlis of the Azerbaijan Republic
2. To state that until the legislative acts of the Azerbaijan Republic are brought into accord with the Law of the Azerbaijan Republic «About Tax on Property» legislative acts about local taxes and charges shall be applied which do not contradict to the present Law.
3. The Cabinet of Ministers of the Azerbaijan Republic within one month should:
Baku, 24 March, 1995
|A to Z of Azerbaijan||