Azerbaijan proposes six-year VAT exemption for agricultural machinery

Azerbaijan has proposed exempting sales of agricultural tractors and imports of their spare parts from value-added tax (VAT), as well as customs duties, for a period of six years starting January 1, 2027.

According to Report, the proposal is included in a draft law on amendments to the Tax Code.

The document is part of the 2027 budget package.

The draft law aims to localize the production of agricultural tractors and support domestic manufacturing.