Production of some agricultural equipment planned to be exempt from VAT in Azerbaijan

Irrigation equipment is planned to be exempt from taxes in Azerbaijan, Trend reports.

This issue has been recently discussed at the extraordinary plenary session of the Azerbaijani parliament.

The import and sale of irrigation equipment, machinery and agricultural equipment has been exempt from VAT.

According to the proposed addition to the Tax Code, along with the abovementioned agricultural equipment, the production, import and sale of spare parts for agricultural equipment, the list of which has been approved by the structure chosen by the corresponding executive body, is also planned to be exempt from VAT.

The bill is intended to stimulate the production of machinery and equipment used for irrigation, as well as spare parts for them, to optimize the prices for such equipment, and, ultimately, to promote the development of the agricultural sector.

As a result of voting, the bill was adopted in the first reading.