Online income exceeding $10,000 will be taxed

Amendments have been made to the "Rules for electronic tax registration, re-registration, and deregistration of a non-resident engaged in electronic commerce through an internet information resource, registration as a VAT payer, submission of VAT declarations, and payment of VAT."

As reported by BAKU.WS, the corresponding decision was signed by the Prime Minister of Azerbaijan, Ali Asadov.

According to the resolution, non-residents engaged in electronic commerce through an internet information resource and receiving income from providing works and services in electronic form to persons not registered with tax authorities must register for tax purposes in electronic form (hereinafter - tax registration) within 30 days after their turnover from providing works and services to buyers located in the Republic of Azerbaijan exceeds the equivalent of 10,000 US dollars in manats during a calendar year.

At the same time, electronic tax registration of a non-resident whose turnover specified in this paragraph does not exceed the equivalent of 10,000 US dollars in manats will be carried out on a voluntary basis.

It is noted that the provision of consulting, legal, financial, accounting, design, and engineering services via email and other interactive communication means, real-time educational and training services via the internet, as well as online booking services for tickets to events in the fields of science, education, culture, sports, and entertainment will not be classified as services provided in electronic form for the purposes of applying the relevant article of the Tax Code.