15% of VAT in cashless payments may be repaid back

Baku. 19 November. REPORT.AZ/ 15% of VAT in cashless payments done by individual consumers for retail trade or public catering services (excluding oil and gas products), 10% in cash payments may be repaid back in Azerbaijan, Report informs citing the draft law on amendments to the Tax Code.

"The rules for repayment of VAT paid by individual consumers for retail trade or public catering services (excluding oil and gas products) are set by the relevant executive body. According to the rules, the repaid funds make up 15% for cashless payments, 10% for cash payments," the draft law said.

At the same time, according to the amendment made in the article No 102, income tax to be paid by individual entrepreneur to the state budget will be cut by in the amount of 25% of a tax defined in accordance with the particular share of payments done via POS-terminal in total incomes. Moreover, under the amendment made in the article No 106, profit tax to be paid by legal entity to the state budget will be cut by in the amount of 25% of a tax defined in accordance with the particular share of payments done via POS-terminal in total incomes for 3 years from January 1, 2019.