Azerbaijani State Social Protection Fund simplifies reporting process of insurers
Azerbaijan, Baku, Nov. 23 / Trend A.Akhundov
Individual entrepreneurs and owners of land in Azerbaijan will be exempt from reporting to the Azerbaijani State Social Protection Fund (SSPF). This was told reporters on Friday by the fund's chairman Salim Muslimov.
"We are going to amend the law on social insurance, according to which insurers, registered as individuals, engaged in entrepreneurial activities, and land owners will be exempt from presenting reports, because the amount of their contributions is a fixed number, determined by law. For instance, an individual entrepreneur in trade field must pay up to 70 percent of the minimum wage in the country. Therefore, there is no need for reports," Muslimov said.
According to him, the changes will not apply to individuals engaged in entrepreneurial activities and having several employees, as they have to pay contributions for compulsory social insurance in connection with their employees. The state fund has already submitted proposals to the Cabinet of Ministers and they are being coordinated with other government agencies.
"Despite our appeals, submission of reports in electronic form is progressing slowly According to the totals of nine months, more than 13.000 insurers submitted reports in electronic form.
"This is a very small number, which does not satisfy us," Muslimov said.
According to him, the state fund departments joined KOMIS (centralized information system for mass payments) already in the 36 districts of the country.
"In the third quarter some 3.2 million manat was contributed to the fund by these means. Rates are very good, and electronic payments will increase," Muslimov said.
The total number of those insured in the fund and having individual accounts is 2.150 million.
Roughly 25 percent of wages in Azerbaijan are directed toward social security payments.
The official exchange rate on November 23 is 0.7849 AZN / USD.