Tax system transparency ensures 5-fold decline in production of alcoholic beverages in Azerbaijan

15:21 - 13.12.2018


December 13, Fineko/abc.az. The Ministry of Taxes of Azerbaijan has reported about the efficiency of transition from "shadow" to transparent economy.

Khagani Iskenderov, chief director of the Ministry’s Tax Crime Pre-Investigation Department, says that as a whole, the business community regarded positively this appeal of the Tax Ministry.

"There were entrepreneurs who revised their activity and ensured its transparency. There were also those entrepreneurs who in the transition year continued violating tax laws and evading taxes, thinking "there is no inspection". We didn’t expect unambiguous effect, but the transition year does not mean that entrepreneurs can break laws during it, on the contrary, we’ve strengthened tax control in the areas of risk," Iskenderov emphasized.

He pointed out that during this period control was strengthened in the sphere of production and turnover of alcoholic beverages and tobacco products.

"If earlier this year volume of smuggled tobacco products in the domestic market made up 16-18%, now this figure has fallen to 3.5% as a result of the measures taken. Due to excise posts organized at the liqueur enterprises (from 1 August), it was revealed that production of spirits decreased by 5 times," Iskenderov said.

The Ministry’s rep added that production of alcoholic beverages under different name, illegal use of excise stamps and manufacture without use of marking was spread widely. As a result of the measures taken, a serious turn in the field of transparency of excise products was ensured.

"Unfortunately, such violations are observed in other spheres as well," Iskenderov said.

 

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