17:21 - 26.12.2022

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December 26, Fineko/abc.az. The operation of providing residential premises to tenants by the Azerbaijan Mortgage & Credit Guarantee Fund is exempt from VAT.

ABC.AZ was informed at the State Tax Service that this is one of the changes envisaged by the Tax Code.

In accordance with the Tax Code requirements, the object of VAT taxation is considered to be a transaction of the Fund for renting residential premises with the obligation to sell them. This may lead to an increase in monthly payments of citizens and, as a result, to decrease in the availability of housing for the population and the effectiveness of this mechanism.

In this regard, this operation provides for VAT exemption. The proposed benefit will contribute to the further improvement of this mechanism, including meeting the demand of citizens for residential premises and ensuring their accessibility.