Author: np-post

Recent proposed amendments to the Labour Code of the Republic of Azerbaijan introduce an important development in the area of employee remuneration, reinforcing the principle of equality in the workplace.In particular, Article 154 of the Labour Code has been supplemented with a new provision establishing the obligation of employers to ensure equal pay. Under the newly added Part 3 of Article 154, employers are required to pay equal wages to employees performing the same work or work of equal value, regardless of gender. Determination of Work of Equal Value The amendment further clarifies...

Recent legislative amendments have been proposed to the Labour Code of the Republic of Azerbaijan, affecting both termination grounds of employment contracts and principles of remuneration, which are aimed at strengthening workplace safety, ensuring compliance with health requirements, and promoting equality in pay. New Grounds for Termination of Employment Contracts Amendments to Article 74 (termination of an employment contract due to circumstances beyond the parties’ control) expand the list of cases where an employment contract may be terminated. Under the newly added provisions: An...

The Ministry of Finance of the Republic of Azerbaijan has launched the “e-contract” subsystem within the “Digital Public Finance” Information System (the System). Starting from 10 April, budget-funded entities will gradually transition to executing and submitting procurement contracts for goods, works, and services exclusively in electronic form through the “e-contract” subsystem. The “e-contract” subsystem has been developed in accordance with the Law of the Republic of Azerbaijan “On Public Procurement” and enables the full digital lifecycle of procurement contracts, including the preparation,...

On 10 March 2026, the Cabinet of Ministers of the Republic of Azerbaijan adopted Decision No. 74 approving the Rules on the Refund of Administrative Fines. The new rules establish a clear procedure for the return of administrative fines that have been overpaid, incorrectly applied, or mistakenly paid. Under the Rules, an overpaid administrative fine refers to funds paid to the state budget or the accounts of the competent authority in an amount exceeding that specified in a decision on the imposition of an administrative fine, including electronic decisions and electronic protocols. A wrongly...

The President of the Republic of Azerbaijan has approved amendments to the Tax Code, the “Banks” Law, and the “Customs Tariff” Law, following their adoption by the Milli Majlis. The changes introduce important clarifications for non-residents providing electronic services or works to individuals in Azerbaijan who are not registered with the tax authorities. Under the updated Article 33.8-1 of the Tax Code, non-residents whose turnover from such electronic commerce exceeds USD 10,000 (or the equivalent in AZN) per calendar year are required to register electronically with the tax authorities...

Recent amendments to the “Rules on Registration, Re-registration and Deregistration of Individuals”, approved by the Decision of the Board of the Ministry of Taxes dated 19 May 2015, introduce important changes regarding the notification obligations of taxpayers. Under the revised provisions, the period within which taxpayers must notify the tax authorities about certain changes has been reduced from 40 days to 15 days. In particular, taxpayers are now required to inform the tax authority within 15 days if there is a change in their place of residence or location. Additionally, if any amendments...

By Elnur Mammadov Azeri Observer Contributor Elnur Mammadov is the Managing Director of UTB. He has over 20 years of experience in the consulting industry, having held senior roles in tax and legal advisory at a leading international professional services firm. His work has extended beyond Azerbaijan, covering the wider Eurasia region with project experience in more than 50 countries. Elnur Mammadov is the Managing Director of UTB. He has over 20 years of experience in the consulting industry, having held senior roles in tax and legal advisory at a leading international professional...

As of 9 February 2026, amendments to the Law of the Republic of Azerbaijan “On State Registration and State Registry of Legal Entities” establish a new annual reporting requirement for legal entities. The purpose of these changes is to enhance the accuracy of registered data and promote greater transparency within the state registry. Under the revised provisions, following the end of each calendar year, legal entities are required to prepare, within one month, a statement confirming whether any amendments have been made to their registered information. This includes any changes to founding...

The recent request to the Constitutional Court concerned the interpretation of Articles 144.2 and 144.3 of the Labor Code of the Republic of Azerbaijan. While Article 144.2 guarantees compensation for all unused basic annual leave upon termination, Article 144.3 excludes compensation for unused additional and certain other types of leave, creating a legal contradiction. The constitutional review aimed to assess whether this restriction complies with the Constitution.  Constitutional and Legislative Framework Labor legislation establishes that annual leave consists of both basic and...

Following a new proposal by the Milli Majlis, the suspension of business inspections (the “moratorium”) now set to remain in effect until January 1, 2027. This move continues a decade-long policy of “inspection-free periods” initiated in 2015, designed to reduce bureaucratic pressure and foster a more self-regulating entrepreneurial landscape. Under the latest legislative update, the original expiration date of January 1, 2026, has been officially pushed back. This provides an additional 12 months for enterprises to focus on growth and investment without the interruption...