Azerbaijan Tax Ministry Clarifies VAT on Share Investments in Charter Fund

The Azerbaijani Ministry of Taxes Jan. 26 clarified VAT on share investments in the charter fund. The announcement clarifies that, under recent changes to the Tax Code: 1) a zero VAT rate will apply to an investment of fixed assets in the form of a share in the charter fund of the enterprise; and 2) if the investment is not directly related to the acquisition of other property, then the transaction will be subject to a zero VAT rate and the VAT amount paid for those fixed assets will be offset. [Azerbaijan, Ministry of Taxes, 01/26/23]

Reference: View Announcement. ...