en
Easements for taxpayers importing goods
Easements for taxpayers importing goods
According to Article 16.1.11-11 of the Tax Code, except for taxpayers engaged in oil and gas activities, those belonging to the public sector, and those using the “Green Corridor” release system, other taxpayers must provide information to the tax authorities about the goods they intend to import. Expert Anar Bayramov comments on the key points related to recent amendments to this article of the Tax Code.
First amendment: Taxpayers covered by Article 16.1.11-11 must submit the form approved by the tax authority in the prescribed manner. By Resolution No. 6 of the Collegium of the Ministry of Economy of the Republic of Azerbaijan dated March 14, 2022, the “Information form on goods to be imported by taxpayers, except those engaged in oil and gas activities, belonging to the public sector, or using the ‘Green Corridor’ release system” was approved. Previously, some taxpayers submitted documents in a free format. Following the amendment, the form must now be submitted only through a special section created on the online tax portal.
Second amendment: Article 16.1.1-11.1 of the Tax Code has been repealed. This article required taxpayers to indicate the place where goods used under ownership, lease, or other property rights and (or) registered with the tax authority as a business entity (facility) would be stored (unloaded). The repeal of this article should be viewed as an improvement in tax administration. Moreover, subsequent amendments indicate that control measures for taxpayers engaged in import activities (excluding cargo companies) have been relaxed.
According to the amendment to Article 16.1.11-11.3, the words “or several” were added after the word “one.” Previously, the taxpayer was required to submit the form to the tax authority if there was only one business entity (facility) registered.
Example 1: Suppose a taxpayer engaged in banking activities has a head office and several branches — previously, they had to submit the import-related form. After the amendment, if the taxpayer has more than one business entity (facility), there is no longer a need to submit the form. As noted earlier, these amendments introduce certain relaxations for taxpayers engaged in import activities.
The next amendment concerns cases where goods are imported for non-commercial or personal use — in such cases, the form does not need to be submitted.
Example 2: If an individual entrepreneur imports a passenger car for personal use, they are not required to send the information form specified in Article 16.1.11-11 of the Tax Code to the tax authority.
According to Article 16.1.11-11 of the Tax Code, except for taxpayers engaged in oil and gas activities, those belonging to the public sector, and those using the “Green Corridor” release system, other taxpayers must provide information to the tax authorities about the goods they intend to import. Expert Anar Bayramov comments on the key points related to recent amendments to this article of the Tax Code.
First amendment: Taxpayers covered by Article 16.1.11-11 must submit the form approved by the tax authority in the prescribed manner. By Resolution No. 6 of the Collegium of the Ministry of Economy of the Republic of Azerbaijan dated March 14, 2022, the “Information form on goods to be imported by taxpayers, except those engaged in oil and gas activities, belonging to the public sector, or using the ‘Green Corridor’ release system” was approved. Previously, some taxpayers submitted documents in a free format. Following the amendment, the form must now be submitted only through a special section created on the online tax portal.
Second amendment: Article 16.1.1-11.1 of the Tax Code has been repealed. This article required taxpayers to indicate the place where goods used under ownership, lease, or other property rights and (or) registered with the tax authority as a business entity (facility) would be stored (unloaded). The repeal of this article should be viewed as an improvement in tax administration. Moreover, subsequent amendments indicate that control measures for taxpayers engaged in import activities (excluding cargo companies) have been relaxed.
According to the amendment to Article 16.1.11-11.3, the words “or several” were added after the word “one.” Previously, the taxpayer was required to submit the form to the tax authority if there was only one business entity (facility) registered.
Example 1: Suppose a taxpayer engaged in banking activities has a head office and several branches — previously, they had to submit the import-related form. After the amendment, if the taxpayer has more than one business entity (facility), there is no longer a need to submit the form. As noted earlier, these amendments introduce certain relaxations for taxpayers engaged in import activities.
The next amendment concerns cases where goods are imported for non-commercial or personal use — in such cases, the form does not need to be submitted.
Example 2: If an individual entrepreneur imports a passenger car for personal use, they are not required to send the information form specified in Article 16.1.11-11 of the Tax Code to the tax authority.