Excise tax is a type of tax imposed on some mass consumer goods, jewelry, mineral raw materials, and services by including them in the price. Excise rates of goods brought to the territory of the Republic of Azerbaijan are approved by the Cabinet of Ministers and applied uniformly throughout the country.
Which goods are subject to excise tax?
Non-CIS goods and passenger cars Addendum No. 1is subject to excise tax at specified rates.
Excise goods and passenger cars produced in the CIS countries are subject to excise tax when imported from outside the borders of the CIS countries.
Addendum No. 2goods are subject to excise tax at specified rates regardless of the country of origin and the place of importation.
Excise tax is paid in manats for goods subject to excise tax and passenger cars subject to excise duty imported into the territory of the Republic of Azerbaijan.
Payers of the tax
In accordance with the legislation, regardless of the form of ownership and ownership subordination, all individuals and legal entities that bring excised passenger cars and excise goods into the territory of the republic are considered to be excise tax payers. Excise duty is paid by the declarant or other persons defined by the customs legislation before or when the cargo customs declaration is accepted for the customs operation.
When the excise tax is recalculated and collected without dispute, as well as when fines and penalties are collected, including cases where the value of excise tax-deferred goods and passenger cars subject to excise tax is adjusted, those amounts are taken from the responsible person for the purpose of financial regulation.
What is the procedure for calculating the excise tax?
Excise tax on alcoholic beverages, ethyl (edible) alcohol, tobacco products and passenger cars (except for special-purpose patrol vehicles) imported into the territory of the Republic of Azerbaijan from outside the CIS countries and produced by CIS member states. from the value Appendix No. 1is calculated with the mentioned percentages.
Excise duty on oil products, regardless of the place of import and country of origin, is based on their customs value Appendix No. 2is calculated with the mentioned percentages.
During the clearance of alcoholic beverages and passenger cars subject to excise duty entering the territory of the Republic of Azerbaijan, if the specified customs value of the mentioned goods is marked with D, and the rate of excise tax is marked with the letter A, then the excise tax will be calculated according to the following formula:
(L x H): 100
Exemption from payment of excise tax
According to paragraph 1 of Article 2 of the Law of the Republic of Azerbaijan on Amendments and Amendments to the Law of the Republic of Azerbaijan "On Excises", raw materials and materials imported by enterprises for their own needs into the territory of the Republic are exempted from excise tax.
How should excise tax be paid?
In order to confirm the payment of the excise tax, a copy of the payment order with a note of the bank authority on the payment of the tax must be attached to the declaration. After payment of the excise tax, the customs body allows the release of excise goods and passenger cars subject to excise duty into free circulation.
Excise tax is transferred to the deposit account of customs authorities. The customs body controls the process. If the funds do not enter the account within one month from the time of the payment order, the receipt of that tax amount is ensured without dispute.
The tax amounts received in the deposit account must be transferred to the AR's accounts opened in authorized banks, provided that the last payment is made on the last banking day, not less than four times a month.
To pay the excise tax, a grace period of up to two months can be granted from the time of acceptance of the customs declaration, if one of the following conditions is met:
- When the goods are pledged under the contract in accordance with the Regulation "On the rules for the use of pledge in the customs authorities of the Republic of Azerbaijan".
- When the authorized bank duly registered with the State Customs Committee of the Republic of Azerbaijan guarantees (Appendix 3).
If the obligation is not fulfilled on time, the customs authorities shall undisputedly collect the calculated amounts and a penalty of 0.3 percent for each day of delay (including the grace period) from the bank and the payer, and report the non-fulfillment of the obligation to the Central Bank of the Republic of Azerbaijan and the State Provides information to the Customs Committee.
Excise tax on passenger cars imported into the territory of the republic for the personal use of natural persons is calculated from the customs value and paid at the specified rate.
Refund of already paid or received excise tax is carried out in accordance with the legislation.
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