BAKU, Azerbaijan,
August 27. Dutch company Zoho Corporation B.V. and
U.S. companies Zoom Communications, Inc. and OpenAI OpCo, LLC have
been registered for tax purposes in Azerbaijan through the
electronic registration portal of the State Tax Service under the
Ministry of Economy, the tax authority said.
The companies' registrations for value-added tax (VAT) purposes
will take effect on September 1, 2026, it said.
Under amendments to Azerbaijan's Tax Code adopted this year,
starting in September 2026, nonresident digital service providers
that provide services through e-commerce and have annual turnover
in Azerbaijan exceeding $10,000 will be required to register
electronically with the tax authorities.
Registered nonresident digital service providers will
independently fulfill their VAT obligations by calculating,
declaring and paying the tax to the state budget.
In this case, banks will not withhold VAT on payments made to
the registered providers, the State Tax Service said.
The new mechanism is aimed at improving tax administration in
the digital services sector, simplifying compliance with tax
obligations and increasing transparency, according to the
authority.
The State Tax Service said it continues outreach and
communication with nonresident digital service providers offering
services through e-commerce in Azerbaijan, as well as their
registration.
The list of registered nonresident digital service providers is
available on the State Tax Service's official website.
Azerbaijan State Tax Service — digital economy taxation
