Azerbaijan extends tax benefits for small and medium enterprises

Azer Bayramov, the Deputy Minister of Economy, announced that more than 340 small and medium-sized enterprises in Azerbaijan have received startup certificates.

He shared this information during a joint meeting of the Milli Majlis committees to discuss the draft law for the 2027 state budget. The government plans to extend tax benefits for these small and medium-sized enterprises from 3 years to 7 years starting in 2027.

Additionally, the ministry will introduce a 20-year package of tax incentives for residents of technology parks where the state owns less than 51 percent of the share. These incentives include exemptions from land, property, and profit taxes, along with social insurance benefits and zero income tax on employee salaries. The new legal framework also establishes rules for venture funds and crowdfunding. These measures aim to help entrepreneurs secure funding from investor capital instead of relying solely on bank loans.

Large entrepreneurs can access these tax benefits if they meet specific export conditions.