Tax incomes from housing construction in Azerbaijan total about $300mln per year

Business Materials 31 July 2010 16:23 (UTC +04:00)

Azerbaijan, Baku, July 30 /Trend, I.Khalilova/

Every year the construction sector of Azerbaijan transfers more than 270 million manat to tax, said Deputy Minister of Taxes Natik Amirov.

"The VAT rates for housing have been limited for three years since 2008, and this process is controlled, so we have no problems with tax collection in this sector, the deputy minister said. - Traditionally the tax in the construction sector is collected at a high level."

Since 2008, companies involved in housing have been paying VAT within the minimum turnover of 225 manat.

The tax system for housing has changed from 1 January 2007, however, the minimum turnover for VAT has been approved since 2008. Although the simplified tax payers are not subject to VAT, housing is an exception. Prior to amendments to the Tax Code in 2007, they were the payers of property tax and income tax.