Support to real estate renting entrepreneurs suggested

12:32 - 1.12.2021


December 1, Fineko/abc.az. One of the proposed amendments to the Tax Code relates to the provision of support to entrepreneurs renting out property.

ABC.AZ was informed at the State Tax Service under the Ministry of Economy that according to the proposal, the repair costs of fixed assets that are not accounted for on the lessee's balance sheet and are not reimbursed by rent or not paid by the lessee should be capitalized and deducted from income in the form of depreciation charges.

According to the Tax Code requirements, if a taxpayer rented a fixed asset and did not take it into account on the balance sheet, then the repair costs incurred for this fixed asset are not deducted from income.

At that, when the repair costs of a leased fixed asset are reimbursed by rent, the repair costs of this fixed asset are attributed to expenses deducted from revenue in the form of rent.

 

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