Azerbaijan approves procedure for payment of financial aid to entrepreneurs in liberated lands

Azerbaijani Prime Minister Ali Asadov has approved the procedure for the payment of financial assistance to entrepreneurs engaged in production activities in the territories liberated.

The procedure envisages the payment of financial assistance to entrepreneurs engaged in production activities in the territories for the use of public services such as electricity, natural gas, water supply and sanitation, Caliber.Az reports, citing the press service of the Cabinet of Ministers.

Under the presidential decree dated December 10, 2021 "On some measures to accelerate economic development in the occupation-liberated territories", it was assigned to apply tax, social insurance and other benefits for the purpose of effective management of economic and labour resources in the liberated territories.

The decree envisages directing resources to the creation of a processing industry and service infrastructure, as well as to stimulate private initiatives in those areas, to improve the investment promotion mechanisms, to determine the customs and tax concessions for the import of raw materials and materials for entrepreneurs engaged in production activities.

In order to ensure the implementation of the relevant decree, optimal concessions and incentive mechanisms have been developed to increase investment attractiveness and improve the business environment in the liberated territories, and appropriate changes have been made to the Tax Code.

The main purpose of granting tax incentives is to attract investments to the liberated territories and to provide incentives for entrepreneurship by the state.

Residents of the liberated territory were exempted from profit (income), property, land and simplified tax for 10 years from January 1, 2023.