Proposals for amendments to the Tax Code have been prepared in accordance with the “2022–2026 Social and Economic Development Strategy,” taking into account the goals of ensuring the sustainability of the state budget, stimulating the development of strategic sectors, and increasing the investment climate and capital investments, said Orkhan Nazarly, Head of the State Tax Service, during the discussion of the proposed amendments to the Tax Code at the meeting of the Milli Majlis (Azerbaijani Parliament) Committee on Economic Policy, Industry, and Entrepreneurship, APA reports.
Orkhan Nazarly noted that the draft also takes into account tasks arising from the relevant decrees and orders of the President of the country, such as the application of tax and social insurance benefits within the framework of the social and economic development program of the Nakhchivan Autonomous Republic, and the expansion of state support for the fisheries and agriculture sectors.
The draft proposals also envisage the adjustment of existing tax benefits on wages for the period after 2026, aligning excise policy with international requirements, promoting domestic car production, reducing import dependence and protecting the domestic market, enhancing tax control and transparency, as well as strengthening the fight against illegal entrepreneurship: “The draft amendments to the Tax Code consist of 3 main blocks and cover a total of 145 proposed changes across 45 articles. The main directions of the draft are stimulating the investment climate and entrepreneurial activity, reducing the tax burden on business entities, efficiently regulating tax revenues and budget income, improving the tax control mechanism, and strengthening the fight against the ‘shadow economy.’ The amendments cover a number of strategic sectors of the economy – domestic car production, shipbuilding, oil and gas industry, public-private partnership, fisheries, agriculture, public catering, and the labor market. Flexibilizing tax policy and applying concession mechanisms in these areas aim to increase economic activity, expand export potential, and maintain the stability of state revenues.”
