The Tax Code of the Republic of Azerbaijan

Article 31. Responsibilities of tax authority officials
31.0. Officials of tax authorities shall:
31.0.1. Follow this Code and other legislation of the Republic of Azerbaijan;
31.0.2. within their level of competence apply the rights and responsibilities of tax authorities;
31.0.3. be attentive to taxpayers, their representatives and other participants of tax relations.
Chapter IV. Tax control
Article 32. Tax control - forms of tax control
32.1. The tax control is provided by tax authority for the purposes of complete and timely collection of taxes. The tax control is a single system of control over the registration of taxpayers and taxable bases as well as compliance with tax legislation.
32.2. The tax control is provide by relevant executive authorities in cases and in accordance with procedures stipulated by this Code and the Customs Code of the Republic of Azerbaijan. Control over calculation in accordance with legislation, complete and timely payment of local taxes (municipal taxes) is conducted by municipal tax authorities
32.3. The tax control is provided by tax and customs authorities and their official within their level of competence in accordance with this Code, Customs Code of the Republic of Azerbaijan and other legislative acts.
32.4. Tax authorities perform the tax control via registration of taxpayers and taxable bases, review of registration and accounting data, interview of taxpayers and other persons, inspection of premises (territories) used for the generation of income and other instruments established by this Code.
Article 33. Registration of taxpayers
33.1. For the purposes of tax control implementation, taxpayer legal entities shall be registered with tax authorities at place of registration (legal address, indicated in the state registration documents), at the place of received income from the Azeri source, if taxable income contains Azeri source and non-residents, who are not subject at the place of income payment, and individual entrepreneurs and residents - natural persons, which shall submit declaration in accordance with provisions of the Code hereof - at place of residence, and private notaries - at the place of their business,
During state registration the commercial legal entities, as well as representations and affiliates of foreign commercial legal entities shall be assigned with taxpayer’s identification number in accordance with provisions of legislation this shall be deemed as their tax registration. The state registration certificate issued for the purposes of this Code shall be deemed a certificate, which verifies the tax registration of the taxpayer.
33.2. If a taxpayer has a branch, representative office or other business entity (object), the taxpayer shall be registered as taxpayer both at per place of its residence as well as the location of its branch, representative office or other business entity (object).
Taxpayer registration at the location of its affiliate, representative office or other economic enterprise (facility) shall be performed in accordance with procedures established by this Code, with note issued to the taxpayer.
Branches, structural and other separated units specified in Article 13.2.39.3 of this Code, which are engaged in entrepreneur activities of legal entities, as well as branches and permanent representations of non-residents, established in accordance with legislation of the Republic of Azerbaijan, are registered separately and issued the TIN.
Units, located out of location of budget and non-commercial entities of the Republic of Azerbaijan and established for the purposes of implementation of their functions, may be registered separately and may be issued the TIN.
33.3. The registration of legal person as taxpayer with the tax authority or the natural person who performs its entrepreneurial activity without the establishment of legal person (individual entrepreneurs) shall be conducted independently from presence of circumstances established by this Code for the obligation on tax payments.
Diplomatic and consular representations of foreign states, operating on the territory of the Republic of Azerbaijan, as well as representations of international entities can be registered by state authority in accordance with this Article.
Foreigners and stateless persons who wish to exercise entrepreneurial activities as an individual without forming a legal entity shall be registered with the tax authorities as taxpayers on the basis of certificates issued by the relevant executive authority.
33.4. The application on registration with tax authorities shall be submitted by taxpayers to the tax authority at the place of their residence. The application to the tax authority shall be submitted within 30 days from the date of state registration of legal person, and for conduct of entrepreneurial activity in the Republic of Azerbaijan - within 30 days from the date of creation of branch or permanent establishment.
The relevant authority of executive power that provides the state registration along with registration documents shall issue to persons indicated in paragraph 1 of this Article the note indicating the date when these documents have been issued.
The registration of permanent establishment shall be in accordance with procedure established for legal persons in the Republic of Azerbaijan.
Natural persons engaged in entrepreneur activities without formation of legal entity, shall submit the application to the tax authority until the day of start of entrepreneur activity.
Natural persons, who have the income, not subject to withholding tax (withholding tax payment is not possible), or who have the royalty income, or natural resident-persons, who have incomes from the sources outside of the territory of the Republic of Azerbaijan, shall submit the application to the tax authority no later than on the date of occurrence of the right to obtain the income.
33.5. In cases stipulated by article 33.3. of this Code the tax authority shall within 5 days inform the individual entrepreneur on its registration.
33.6. Shall taxpayer have any difficulties related to determining the place for registration the decision shall be made by tax authority based on the data submitted by the taxpayer.
33.7. Large enterprises and entities with special tax regime, specified in Articles 13.2.50 and 13.2.51 of this Code, can be registered on centralized basis in following order:
33.7.1. Centralized registration of large taxpayers and enterprises with special tax regime shall be conducted by tax authorities defined by relevant executive bodies.
33.7.2. The assignment of identification numbers to large taxpayers and enterprises with special tax regime shall be implemented in accordance with this Code.
33.7.3. Persons registered by tax authority at the place of location, upon their enlistment as large taxpayers or enterprises with special tax regime, shall be subject to centralized registration on previous identification numbers.
33.7.4. Tax registration of branches, representations or other economic subjects (facilities) centrally registered as large taxpayers and enterprises with special tax regime shall be implemented in the order established by this Code.
33.7.5. Legal entities, registered by tax authority at the place of location, within 15 days from the start of activities under special tax regime shall apply for tax registration by the relevant tax authority, engaged in centralized registration of taxpayers.
33.7.6. Centralized registration of enterprises engaged in special tax regime activities, or removal from centralized registration shall be implemented within the period of 15 days from the date of application to the relevant tax authority, conducting their centralized registration, with statement of start of activities in special tax regime or stoppage of such activities.
33.7.7. The tax authority, identified by the relevant executive body, shall annually, before May 15, make the decisions on exclusion of registration from the place of location or centralized re-registration of enterprises enlisted as large taxpayers, as well as any decision from their exclusion from centralized registration.
33.7.8. Centralized registration of enterprises enlisted as large taxpayers shall be implemented on the January of the following year, when the decision was made to perform centralized registration.
33.7.9. Relevant executive authority shall annually before June 15 submit to the relevant executive authority information on large taxpayers and enterprises with special tax regime, which were excluded from registration or re-registered centrally, in accordance with the form agreed with relevant executive authority.
33.8. Regulations of registration of divisions of the foreign state resident, operating in the Republic of Azerbaijan without the establishment of permanent representation on the basis of international treaties with participation of the Republic of Azerbaijan concerning avoidance of double taxation, and also legal entity according to the article 13.2.5.3 of the present Code considered as the resident as per place of administration, shall be envisaged as follows:
33.8.1. Units not having permanent representations in the Republic of Azerbaijan, within 30 days from the start of activities in the Republic of Azerbaijan, and foreign legal entities, recognized as residents, shall submit applications to tax authorities at their location within 30 days from the date of recognition as residents in accordance with Tax Code of the Azerbaijan or provision of international treaties to evade double taxation to which the Republic of Azerbaijan is a signatory.
33.8.2. Application for registration of units, which do not form the permanent representation in the Republic of Azerbaijan, as well as foreign entities, recognized as residents at the place of operations, shall be signed by foreign legal entity or its authorized representative.
33.8.3. For registration in tax authorities of units, which do not form the permanent representation in the Republic of Azerbaijan, as well as foreign entities, recognized as residents at the place of operations no additional documents are required in addition to those stipulated under Article 33.8 of this Code.
33.8.4. To application submitted for registration of the unit, which is the resident of foreign state, not forming permanent representation in the Republic of Azerbaijan following shall be attached:
33.8.4.1. documents of registration in the county, in which the foreign legal persons was registered (incorporated) and extract from commercial registry;
33.8.4.2. decision of the competent authority of the resident of foreign state on establishment of unit, which is not forming permanent representation in the Republic of Azerbaijan;
33.8.4.3. foundation documents;
33.8.4.4. residency document approved by the tax authority;
33.8.4.5. document, verifying legal address in the Republic of Azerbaijan (leasing agreement, confirming the right of ownership or other documents);
33.8.4.6. copy of the document, verifying the identity of the head (founder) of the unit;
33.8.4.7. information on income sources in accordance with the form established by the relevant executive authority for units, which do not form permanent representation in the Republic of Azerbaijan.
33.8.5. To application on registration submitted by foreign legal entity recognized as resident at the place of operation, following shall be attached:
33.8.5.1. documents of registration in the county, in which the foreign legal persons was registered (incorporated) and extract from commercial registry;
33.8.5.2. foundation documents;
33.8.5.3. document, verifying legal address in the Republic of Azerbaijan (leasing agreement, confirming the right of ownership or other documents);
33.8.5.4. copy of the document, verifying the identity of the head (founder) of the unit;
33.8.5.5. information on structures, which are under direct or indirect control in the Republic of Azerbaijan and other countries, as well as information on income sources in accordance with the form established by relevant executive authority.
33.8.6. Documents stipulated under articles 33.8.4.1-33.8.4.4, 33.8.5.1 and 33.8.5.2, shall be legalized by the relevant executive authority or representation of the Republic of Azerbaijan in foreign states (consulates of other states, representing interests of the Republic of Azerbaijan).
33.8.7. Documents specified in Articles 33.8.4 and 33.8.5, attached to the application along with translation into Azerbaijani, verified by notary office.
33.8.8. Removal from tax registration and annulling the TIN of the unit of the resident of foreign state, operating in the Republic of Azerbaijan without formation of permanent representation shall be conducted following cases:
33.8.8.1. in liquidation of the entity, which is the resident of foreign state, or the unit, which does not form the permanent representation;
33.8.8.2. if the operations of the unit, which does not establish permanent representation, forms permanent representation.
33.8.9. Removal of the tax registration and annulling of the TIN of foreign legal entity, recognized the resident at the place of operation, shall be performed in following cases:
33.8.9.1. during liquidation of the foreign legal entity, recognized as resident at the place of operation, in the state, in which it was registered (incorporated);
33.8.9.2. during change of the residency of the foreign legal entity, recognized as resident at operation location.
33.9. The registration of payers of local (municipal) taxes shall be conducted by municipal tax authority.