Imported EVs to Remain Exempt from VAT in Azerbaijan for Another Two Years

The Azerbaijani authorities have decided to extend the existing tax incentives for the import of electric vehicles and charging infrastructure by another two years. According to information from the Azerbaijan Bureau, disseminated by BMG, the relevant legislative amendments have already been prepared by the government.

Under the current legislation, which came into effect on January 1, 2022, imported electric vehicles and level two and three charging stations are exempt from the 18% VAT. Initially, this regulation was set to expire on January 1, 2025, but it will now be extended until January 1, 2027.

Azerbaijan, a major exporter of natural resources, is actively pursuing a strategy of economic and energy diversification, with electrification being a key part of this vision. By continuing to offer tax incentives, the government aims to encourage the import of more electric vehicles and further promote the country's shift towards sustainable energy solutions.

Source: bm.ge