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Head of the State Tax Service: Reducing tax on dividends received from abroad will encourage voluntary declaration

06 November 2025 12:23 (UTC +04:00)

As a result of the proposed amendments to the Tax Code, an additional 623 million manat is projected to be received by the state budget, said Orkhan Nazarli, head of the State Tax Service, during the discussion of the proposed amendments to the Tax Code at the meeting of the Milli Majlis Committee on Economic Policy, Industry and Entrepreneurship, APA reports.

Orkhan Nazarli said that other changes will have their effect in the long term: "Reducing the tax rate on dividend income received from abroad will encourage the repatriation of financial assets and investments located abroad to Azerbaijan and voluntary declaration of income. Tax breaks applied in public-private partnership projects, automotive production, shipbuilding, fishing, agriculture and public catering will lead to an increase in added value and production volumes in these areas. Also, the application of the "VAT refund" mechanism for services in the field of hairdressing and beauty salons will significantly contribute to the transparency of these areas of activity."