It became known why the President returned the law to the Milli Majlis without signing it

Explanations have been provided in connection with President Ilham Aliyev's return to the Milli Majlis without signing the law "On Amendments to the Tax Code of the Republic of Azerbaijan, the Migration Code of the Republic of Azerbaijan, the laws of the Republic of Azerbaijan 'On Social Insurance,' 'On Customs Tariffs,' 'On Licenses and Permits,' and 'On State Procurement,'" adopted by the Milli Majlis on July 14, 2026.

As reported by Oxu.Az, the chairman of the Milli Majlis Committee on Economic Policy, Industry and Entrepreneurship, Azer Amiraslanov, stated at the session that the President of Azerbaijan, with the aim of improving state support and stimulating mechanisms of the innovation ecosystem, proposed a number of significant progressive changes to the law adopted by parliament.

It was noted that in the new version, the main concept of the document remains unchanged, and its objectives are preserved in their original form. The primary task continues to be accelerating the development of the innovation economy in the country and stimulating the attraction of private investments in this area. The proposals of the President of Azerbaijan, while preserving the original purpose of the law, are aimed at improving the mechanisms of its implementation. Thus, after the introduction of new amendments, state support for innovation activities will acquire a more targeted, focused, and results-oriented character.

Deputy Minister of Digital Development and Transport Elmin Mammadov noted that the document contains large-scale proposals that will bring the development of the digital economy, ICT, the innovation ecosystem, and startups to a new stage. The reform, covering private technology entities belonging to the non-state sector with a state share of less than 51%, is aimed at accelerating the country's technological development.

It was reported that for large business entities to receive the envisaged tax benefits, a number of conditions must be met, including having a certain share of exports in their total revenues and transferring funds to local banks. The new regime will apply to new residents obtaining certificates after January 1, 2027, while existing residents will be able to continue their activities unimpeded within their current legal status.

It was emphasized that the proposed changes create new opportunities for reducing Azerbaijan's dependence on the oil and gas sector, attracting intellectual capital to the country, and expanding the entry of local innovative brands into the global market.

Then, First Deputy Minister of Economy Elnur Aliyev spoke about the main provisions of the benefits envisaged by the document, indicating that they are presented as a unified system. He noted that the long duration of the benefits is of great importance in terms of increasing investment attractiveness and competitiveness.

Deputy Head of the State Tax Service Samira Musayeva provided information about the entities covered by the tax incentives envisaged in the document, as well as their scope.

At the session, it was deemed appropriate to adopt the law in the updated version with the amendments proposed by the President of Azerbaijan. The corresponding decision was unanimously supported by the committee members.