The Organization for Economic Co-operation and Development (OECD) has published the results of its ninth annual Country Reporting (CbCR) assessment under Action 13 of the BEPS (Base Erosion and Profit Shifting) project. Based on the results of the assessment, which covered 142 jurisdictions, Azerbaijan was once again confirmed to be in full compliance with the international minimum standard for country reporting, while our country received no recommendations for improving existing mechanisms.
The evaluation examined Azerbaijan's legal and administrative framework, international information exchange mechanisms and procedures for proper use of reporting. Compliance with international requirements was confirmed in all three areas. Country reporting involves the exchange of information between tax administrations about the activities, revenues, profits, taxes paid and other economic indicators of multinational groups of companies in different countries. This mechanism aims to increase international tax transparency, identify potential risks related to transfer pricing and profit shifting. By ensuring the implementation of the minimum standard under BEPS Action 13, Azerbaijan participates in international information exchange in the framework of country reporting. The State Tax Service in the Ministry of Economy continues to work to introduce appropriate legal and administrative mechanisms, as well as to develop international cooperation in this field. The results of the evaluation confirm the compliance of the measures implemented by Azerbaijan with established international requirements in the field of international tax standards and increasing tax transparency.