🇦🇿 Taxes · Azerbaijan
Taxes in Azerbaijan
Who becomes a tax resident, which rates apply to individuals and companies, and how property and land tax are worked out.
The Azerbaijani tax system depends on residency status: individuals face either a progressive or a reduced income tax scale, while companies pay flat rates on profit and VAT.
Who counts as a tax resident
Residents are people who are actually present in Azerbaijan for more than 182 days during a calendar year.
If someone spent fewer than 182 days in Azerbaijan or abroad, residency is decided by additional criteria:
- Permanent home
- Azerbaijani citizenship
- Centre of vital interests
Personal income tax
The rate depends on the type of employment - from 0% to 25%.
Employment
- 14% on amounts up to 2,500 manat a month
- 350 manat plus 25% on amounts above 2,500 manat a month
Work in a non-government organisation outside the oil and gas sector
- 0% up to 8,000 manat a month
- 14% on amounts above 8,000 manat
Taxes for companies
Corporate profit tax is a flat 20%. VAT is 18%.
Property and land tax
The property tax rate depends on where the property is and how large it is.
Land tax is paid by the owner of the plot or by whoever leases it. It is charged annually.
The exact tax burden depends on your status and income sources - we go through it on a free consultation.
FAQ
Who counts as a tax resident of Azerbaijan?
What is the income tax rate in Azerbaijan?
What is the corporate profit tax?
What is the VAT rate in Azerbaijan?
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