Corporate Profits Tax (Mənfəət Vergisi) in Azerbaijan
Corporate taxation in the Republic of Azerbaijan is regulated under Chapter IV of the Tax Code of the Republic of Azerbaijan:
- Standard Corporate Profits Tax: Flat 20.0% on net taxable annual profit (gross revenue minus recognized documented business expenditures).
- Quarterly Advance Tax Payments: Paid by the 15th of the month following each calendar quarter (April 15, July 15, October 15, January 15). Calculated% of the preceding year's tax liability or actual quarterly taxable profits.
- Dividend Withholding Tax (WHT): Flat 10.0% statutory withholding tax on dividends paid to resident or non-resident individual or corporate shareholders (Article 122).
- Loss Carry-Forward: Operating losses can be carried forward for up to 5 consecutive fiscal years to offset future taxable income.
Statutory Regulatory Framework: Compliant with the Tax Code of the Republic of Azerbaijan, Labor Code of the Republic of Azerbaijan, Law on Social Insurance (SSPF / DSMF), and regulatory decrees issued by the State Tax Service, Tariff (Price) Council, and State Customs Committee.