🇦🇿 Azerbaijan Tax Guide - Income Tax, Corporate Tax & Special Regimes

Top income tax 25.0% Worldwide system

Corporate tax 20.0%

ƏDV 18.0% standard rate

Tax residency 182 days 55 tax treaties

Azerbaijan tax profile

Data year: 2026

Tax system: Worldwide Residents are taxed on worldwide income. CIT is 20% on taxable profit; a simplified 2% turnover regime applies to eligible small businesses (turnover cap AZN 200,000). Oil and gas PSAs and HGAs use contract-specific regimes.
Top PIT rate: 25.0%
Corporate tax rate: 20.0%
ƏDV: 18.0%
Capital gains tax: 14.0% Individuals: generally taxed at 14% (PwC headline individual CGT rate). Legal entities: gains taxed at the standard 20% CIT rate.
Social security (employee): 3.0%
Social security (employer): 22.0%
Dividend withholding: 5.0%
Interest withholding: 10.0%
Royalty withholding: 14.0%
Inheritance tax: 14.0%
Treaty count: 55

Personal income

Personal income brackets
Bracket min	Bracket max	Rate	USD equivalent
AZN 0	AZN 30,000	14.0%	$0 – $17,647
AZN 30,000	and above	25.0%	$17,647 +

Special regimes
Name	Type	Rate/amount	Duration	Status
Industrial and technology park resident Ten-year exemption from profit/income, land and property tax for qualifying park...	Exemption	0.0%	10yr	Active
Micro-entrepreneur service income exemption 75% of qualifying service income exempt from PIT for individual micro-entreprene...	Percentage exemption	No rate or amount recorded	Duration not recorded	Active

Days threshold: 182 days
Residency rules: Tax resident if present more than 182 days in a calendar year, or if centre of vital interests, permanent stay or citizenship tests point to Azerbaijan when physical presence is under 182 days in both Azerbaijan and abroad.
Exit tax: No
CFC rules: No

PwC Azerbaijan Tax Summary (accessed Oct 9, 2026) Headline CIT, PIT, VAT, WHT, CGT, inheritance, filing dates
PwC Azerbaijan — taxes on personal income (accessed Oct 9, 2026) 2026 private-sector transitional monthly PIT; oil/gas and government standard monthly PIT
PwC Azerbaijan — significant developments (accessed Oct 9, 2026) End of 2019–2025 private-sector salary PIT exemption; 2026 social insurance changes
PwC Azerbaijan — other taxes (individual) (accessed Oct 9, 2026) Social security, unemployment and mandatory medical insurance bands
PwC Azerbaijan — tax credits and incentives (accessed Oct 9, 2026) Technology park and SEZ incentives
State Tax Service — tax treaties (accessed Oct 9, 2026) Treaty list, MLI from 2025, Kyrgyz and Slovakia effective dates
AZERTAC — 2026 Tax Code amendments (accessed Oct 9, 2026) Official summary of staged 2026–2028 private-sector PIT reinstatement

AL Albania Unique Permit for Digital Mobile Workers	$610/mo
EC Ecuador Digital Nomad Visa (Visa Nómada)	$1,446/mo
ME Montenegro Digital Nomad Residence Permit	$1,460/mo
MU Mauritius Premium Visa	$1,500/mo

GE Georgia Small Business Status (1% Tax)	1%
JE Jersey High Value Resident (HVR)	1%
UZ Uzbekistan IT Park Resident Status	1%
SO Somalia Presumptive Tax Regime (PTR)	1.5%