The President of the Republic of Azerbaijan has approved amendments to the Tax Code, the “Banks” Law, and the “Customs Tariff” Law, following their adoption by the Milli Majlis. The changes introduce important clarifications for non-residents providing electronic services or works to individuals in Azerbaijan who are not registered with the tax authorities.
Under the updated Article 33.8-1 of the Tax Code, non-residents whose turnover from such electronic commerce exceeds USD 10,000 (or the equivalent in AZN) per calendar year are required to register electronically with the tax authorities within 30 days, while non-residents below this threshold may choose to register voluntarily. The amendments specifically clarify that certain services are not considered electronic commerce for these purposes, including consulting, legal, financial, accounting, design, and engineering services provided via email or other interactive channels, real-time online training and educational services, as well as ticket sales for science, education, culture, sports, and entertainment events.
Additionally, the procedures for registration, re-registration, deregistration, and VAT compliance for non-residents engaged in electronic commerce will be established by the authority designated by the President of Azerbaijan.
