Central & South Asia

Azerbaijan tax rates 2026

Residents are taxed on worldwide income. Personal rates are sector-dependent, topping out at 25%, alongside 20% corporate tax and 18% VAT.

Worldwide (residence-based) Last verified

The taxes

Azerbaijan tax rates
Personal income (top)25%Progressive, and it depends on the sector. The top statutory rate is 25% for oil, gas and the public sector. The non-oil private-sector exemption ended 1 Jan 2026, which brings back rates of up to 14%.
Corporate income20%
Capital gainsTaxed as income for individuals, or at 20% CIT for companies.
VAT18%
Dividends (WHT)5%
Interest (WHT)10%
Royalties (WHT)14%
Social security (employee)3%
Social security (employer)22%
Wealth taxNone
Inheritance / estateNone
Property taxProperty tax on buildings, based on area, runs up to roughly 1%.
OtherSocial insurance is 3%/10% for employees and 22%/15% for employers above AZN 200 in the non-oil sector. Payments to favourable-tax jurisdictions carry a 10% withholding tax.

How the system works

Tax system
Worldwide (residence-based)
Foreign income
Taxed (worldwide)
Taxes by citizenship
No
Exit tax
No
CFC rules
No
CRS
Participating

A special regime for new arrivals

Nothing material for UHNW. The 7-year non-oil exemption expired on 31 December 2025.

Rates checked July 2026: the top marginal income tax rate, the standard VAT rate and the main corporate rate.

Ways to relocate to Azerbaijan

The residency and citizenship routes that lead here, weighed against the tax picture above.

More on Azerbaijan