For accounting of a business entity (object), the "Application for tax accounting at the location of the taxpayer's branch, representative office or other business entity (object)" is submitted to the tax authority in paper form or electronically through the "Internet Tax Office".

The following appropriate documents should be enclosed to the application:

1. Document confirming ownership (extract from the state register of real estate, official of real estate, real estate registration certificate, apartment warrant);

2. Inheritance certificate or the relevant notary's document on the appointment of an heir;

3. Lease or sublease agreement;

4. Use contract without replacement;

5. purchase agreement and financial statement concluded with the housing construction cooperative;

6. technical passport of real estate;

7. decision, order or extract from those documents issued by the local executive authority;

8. decision, order or extract from those documents issued by the municipality;

9. construction permit issued by the local executive authority;

10. sketch project approved by the competent state body;

11. certificate issued by state farms (for example: Dairy State Farm, Pig State Farm);

12. a certificate issued by commercial markets without an ownership document.

13. purchase contract of another movable business entity (object);

14. a document confirming the right to use movable property issued by the local executive authority;

15. electronic invoice;

16. technical passport of movable property

Application processing time is 2 working days (both paper and electronic).

 

In order to issue certificates-duplicates for opening bank accounts, the "Application for obtaining a certificate-duplicate for the purpose of opening a bank account" in paper carrier is submitted to the tax authority or electronically through the "Internet Tax Office". Based on that application, a duplicate certificate is prepared and sent to bank offices in real time.

The process of issuance of certificate-duplicate is 2 working days (both in paper carrier and electronically).

Starting from 01.10.2023, after taxpayers’ tax accounting they will apply to banks, credit organizations and the national operator of postal communication (hereinafter - the persons conducting banking transactions). Thus, to open accounts for taxpayers and record the open accounts (except for the accounts opened not related to business activities of non-residents) with the tax authority, the information approved by Ministry of Economy of the Republic of Azerbaijan is provided to be sent electronically to the tax authority within 1 working day from the date of account opening.

 

The registration of cash registers with the tax authority is regulated by the Regulations "Operation of cash registers" approved by the Decision No.338 of the Cabinet of Ministers of the Republic of Azerbaijan dated 01.08.2019. According to those Regulations, the taxpayer first of all applies to the Operator and concludes a contract with him. After the contract is concluded, the Operator installs the cash register at the taxpayer's business entity (object) and sends the related information to the taxpayer's electronic office for confirmation. The control-cash register is considered to be registered with the tax authority at the moment when the taxpayer approves the application form based on the information entered by the operator with a strengthened electronic signature.

Persons, except for persons who perform entrepreneurial activity and whose taxable transactions in any month (months) of a consecutive 12-month period exceed 200,000 manats, including persons engaged in trade and (or) public catering activities who do not exercise the right defined by Article 218.1 of the Tax Code (with vehicles owned or used by them (with the exception of international cargo and passenger transportation) carrying out passenger and cargo transportation (by taxi, as well) at the territory of the Republic of Azerbaijan or carrying out such transportation through other persons on the basis of a contract, the operator of sports betting games and sellers of sports betting games, as well as persons who are lottery organizers and sellers of lottery tickets, natural persons representing residential and non-residential premises owned by them) are obliged to submit an application for VAT registration within 10 days from the date specified in Article 157.3.1 of the Tax Code.

Persons engaged in the activities provided for in Article 154.6 of this Code, i.e. producers of goods subject to excise duty, compulsory marking and persons engaged in building construction activities, paralel with an application for accounting with a tax authority are obliged to submit an application together with an application for VAT registration, or in the event that they subsequently engage in this activity until the day they start carrying out that activity.

If the total value of a transaction under a contract exceeds 200,000 manats, this transaction is considered a VAT-charged transaction, and the person performing that transaction is obliged to submit an application for VAT registration by the day of the transaction.

The sample of "Application for the registration of the taxpayer for the purpose of value added tax" is submitted to the tax authority by the taxpayer either on a paper carrier or electronically through the "Internet Tax Office".

Registration for VAT purposes is carried out in 2 cases, voluntary and mandatory. The following persons may submit a voluntary application for VAT registration:

1. the one who acquires and pays the value of the provided services and the value of purchased goods (works and services) without cash;

2. the one who formalizes the income received from the services provided to other taxpayers and the expenses incurred for obtaining the income with an electronic invoice;

3. the one who records the transactions for the provided services via a single centralized electronic system and provides remote access to that system by the tax authority.

Those persons submit an application for VAT registration to the tax authority by place of registration no later than January 31, and the registration of those persons for VAT purposes takes effect from the first day of that month.

Compulsory registration for VAT purposes takes effect on one of the following dates:

1. if the volume of taxable transactions exceeds 200,000 manats in any month (months) of a consecutive 12-month period - on the first day of the following month;

2. if the total value of the transaction subject to VAT under a contract exceeds 200,000 manat - until the day of the transaction;

3. On the day when the persons engaged in the activity provided for in Article 154.6 of this Code are state registered or accounted in the tax authority, and in a case they are engaged in this activity later, on the day when they start to carry out that activity.

Application processing time is 5 working days (immediately, if electronically).

 

The registration of POS-terminals is regulated by the Regulations "Installation, use and application of POS-terminals at the territory of the Republic of Azerbaijan" approved by the decision of the Cabinet of Ministers of the Republic of Azerbaijan No. 219 dated 04.10.2012. According to those Regulations, the State Tax Service sends a notification for the installation of POS-terminals in all economic entities belonging to the taxpayer, which are required to install POS-terminals in accordance with the legislation. After receiving the notification, the taxpayer applies to the bank acquirer for the installation of POS-terminal within 10 (ten) working days. The taxpayer should submit the following documents or information to the bank acquirer along with the application for the POS-terminal installation:

1. copy of the document confirming the identity of the taxpayer or the legal representative of the state body (in paper carrier) or data of the relevant document (electronically);

2. a copy of the customer's tax registration certificate (in paper carrier) or certificate information (electronically);

3. a copy of the document confirming the tax accounting of a business entity (in paper carrier) or the data of the relevant document (electronically);

4. a copy of the notification sent by the State Tax Service (on paper carrier) or data of the notification (in electronic form), indicating the name and code of the main type of activity, for the installation of a POS-terminal in the economic entity.

After that, a contract is concluded between the bank acquirer and the taxpayer, and then a POS-terminal is installed at the business entity provided for in the contract within 10 (ten) working days. Within 1 (one) working day after the installation of the POS-terminal, the bank acquirer sends an application to the State Tax Service electronically or in paper carrier for the POS-terminal registration installed in the business entity provided for in the contract.

The deadline for the application execution by the State Tax Service is 2 working days (both, in paper carrier and electronically).

List of normative legal acts:

1. Regulations "Operation of cash registers" approved by Decision Nr. 338 of the Cabinet of Ministers of the Republic of Azerbaijan dated 01.08.2019;

2. Regulations "Installation, use and application of POS-terminals at the territory of the Republic of Azerbaijan" approved by the Decision of the Cabinet of Ministers of the Republic of Azerbaijan Nr. 219 dated 04.10.2012.