AmCham Tax & Customs Committee's November Meeting

On November 22, 2023, AmCham Tax & Customs Committee held its monthly meeting dedicated to the “Implementation of the Base Erosion and Profit Shifting (BEPS) project in Azerbaijan”. Invited guest speakers from the Centre for Tax Policy and Administration of Organisation for Economic Co-operation and Development (OECD) were Mr. Andrew Auerbach and Mr. Tomas Balco, Senior Tax Advisors of the Global Relations and Development Division, and Ms. Sara Shurmur, Advisor of BEPS and Developing Countries Unit.The meeting was opened with the welcome speech of Ms. Narmin Aslanova, Chairperson of AmCham Tax and Customs Committee. Highlighting the importance of the topic for businesses operating in Azerbaijan, Ms. Aslanova introduced the guest speakers to the participants.Afterwards, guest experts from OECD made presentations and explained in detail the procedures that need to be followed in order to ensure compliance with the OECD/G20 Inclusive Framework on BEPS, which has been recently signed by Azerbaijan and is pending ratification. Following the comprehensive presentations, an extended Q&A session was carried out, whereby relevant practical questions raised by the participants were addressed in kind by the experts, both from the OECD and the State Tax Service of Azerbaijan.At the end of the meeting, Ms. Aslanova expressed her gratitude both to the speakers and participants of the meeting for their valuable contributions. 

AmCham Azerbaijan and State Tax Service held a Joint Tax Conference on “Tax Transparency: Achievements and Challenges"

On October 26, 2023, a tax conference on "Tax Transparency: Achievements and Challenges" was jointly organized between the American Chamber of Commerce in Azerbaijan (AmCham Azerbaijan) and the State Tax Service (STS) under the Ministry of Economy of the Republic of Azerbaijan. The event brought together about 150 participants, including representatives of AmCham member companies and government officials.The conference covered essential topics such as using modern tools to enhance tax transparency, combatting the shadow economy, the role of modern retail advancements in the application of tax reforms, and etc. Opening the event, Executive director of AmCham Azerbaijan Ms. Gulnara Aslanbayli, underscored the significance of the 8th joint tax conference, which coincided with the 100th anniversary of the birth of the national leader Heydar Aliyev. She emphasized that this conference played a pivotal role in fostering a constructive state-business dialogue, building mutual trust, and enhancing public cooperation. She also highlighted the prevailing environment of productive collaboration and effective relations between the State Tax Service and AmCham Azerbaijan.Ms. Narmin Aslanova, Chairperson of the AmCham Tax and Customs Committee stressed that extensive discussions had been conducted among the Chamber's members regarding proposed changes to the Tax Code. She emphasized that these conversations were instrumental in building mutual trust and understanding between businesses and the government. Afterwards, Mr. Ilgar Mehti, First Vice-President of AmCham Azerbaijan, emphasized the increasing responsibilities shared by the state and the business community. He noted the crucial role of such meetings in preparation of the "White Paper" prepared by the Chamber. Mr. Mehti also emphasized that the business community advocates for a balanced tax policy. Mr. Orkhan Nazarli, Head of the State Tax Service (STS), expressed his deep appreciation for the strong and productive business relationship between the STS and AmCham Azerbaijan. He highlighted the significance of the issues addressed in AmCham's "White Paper" concerning taxation, emphasizing that many of the concerns raised in the previous report have already been successfully resolved.During the event, Mr. Nazarli provided insights into the structural changes within the State Tax Service. He revealed the establishment of a new unit dedicated to the analysis of taxpayer risks and monitoring, as well as the creation of an Ombudsman's office. He assured participants that these developments would enhance the STS's ability to address appeals and complaints in a more effective manner. Mr. Nazarli shared that the current Tax Administration structure is organized based on taxpayer classification and geographic regions. However, he announced future plans to transition to a functional area-based management approach. This shift will lead to more unified tax policy and administration, fostering transparent relationships between the fiscal authority and taxpayers.He also emphasized the positive outcomes in fiscal transparency indicators, noting that the growth rate of tax revenues exceeds the nominal growth rate of GDP by 7.7 percent. Mr. Nazarli underscored the government's keen interest in economic growth, entrepreneurial empowerment, and the establishment of a stable income system. He specifically mentioned the potential for micro-entrepreneurs to evolve into small businesses and, subsequently, medium-sized enterprises, leading to significant improvements in the economy. Mr. Nazarli confirmed the tax policy's commitment to supporting this process. Furthermore, he highlighted the upcoming changes in tax policy, initiatives to promote taxation in specific segments, and the application of tax instruments to eliminate unfair competition. He also revealed the positive approaches awaiting business entities in tax administration.Mr. Nuran Karimov, managing partner of "Deloitte Azerbaijan" company, said that serious changes have been observed in the direction of reducing the "shadow economy". It was emphasized that the creation of a database with open register access for business entities can contribute to the process of selecting counterparties, the possible positive effects of tax and capital amnesty on the sustainability of transparency, and the importance of evaluating the possibilities of transition to the universal declaration system in the future.Mr. Nijat Imanov, Head of the Tax Policy Department at the STS, provided insights into the changes envisaged in the Tax Code for the upcoming year within the budget and tax policy. He emphasized that the government's top priorities are reducing the tax burden on businesses, promoting entrepreneurial activities, and alleviating the tax burden on the population through social benefits. Expanding the tax base and enhancing tax control mechanisms and administration are central to the strategy. The overarching goals of the tax policy continue to be supporting businesses, optimizing tax burdens, and minimizing risks. Mr. Imanov also mentioned the extensive discussions have taken place with business entities to ensure broad consensus on these changes.Thereafter, Ms. Natavan Ibrahimova, Director of the "Oba" Market Chain, delved into the role of "Modern retail" in the application of tax reforms. In her presentation, Ms. Arzu Hajiyeva, Tax Partner at "EY Azerbaijan," addressed the need for transparency in economic transactions, discussing both the existing opportunities and challenges in this field. She also shared insights on approaches related to managing high-risk taxpayers. Next speaker Mr. Rashad Abbasov, Head of the Tax Group at "NEQSOL Holding Azerbaijan," emphasized the importance of tax transparency and the necessity of maintaining a balance between tax transparency and tax enforcement. Another tax expert, Ms. Gunel Sadiyeva, Tax Director at "PWC Azerbaijan," discussed the role of trust in increasing transparency, drawing from results obtained through surveys conducted among the taxpayers.Furthermore, Mr. Elshan Rahimli, Chief of the General Department of Economic Analysis and Accounting control at the STS, provided valuable insights into the progress made in reducing the "shadow economy." Mr. Rahimli discussed notable achievements in enhancing transparency within the economy, including growth indicators in the non-oil sector, turnover levels, the active taxpayer base, and the increasing number of labor contracts. Notably, he emphasized that voluntary compliance during the period of January to August 2023 exceeded 95 percent of total receipts.To sum up the event, Mr. Orkhan Nazarli, shared his thoughts on the proposals and issues raised during the conference presentations and speeches. He offered contextual insights into the State Tax Service's overarching perspective.At the end of the conference, Samira Musayeva, Deputy Head of the STS, addressed numerous questions posed by members of AmCham Azerbaijan. She also highlighted several positive approaches that can benefit businesses.Th conference served as a valuable platform for shedding light on the significant progress made in enhancing transparency, encouraging voluntary compliance, and strengthening the partnership between government entities and the business community.Click to see the highlights from the Conference. 

AmCham Human Resources & Labor Committee Celebrates 25th Anniversary of National Salary Survey

AmCham Human Resources & Labor Committee marked a significant milestone on October 25, 2023, by hosting a special session dedicated to the 25th presentation of the National Salary Survey. The event was an exclusive commemoration of the project's quarter-century journey.The session commenced with a warm welcome from Mr. Parviz Tahirov, Deputy Chairperson of the committee. Mr. Tahirov extended his greetings to all participants and provided a brief overview of the event. Notably, he emphasized that the National Salary Survey project was celebrating its 25th anniversary this year and invited all contributors to join in the celebratory cake-cutting ceremony.The session, dedicated exclusively to the 25th Anniversary of the project, featured discussions on the following key topics:Presentation of the Results: An in-depth presentation of the results and key findings of the AmCham National Salary Survey for the year 2023.Evolution of the Survey: A comprehensive look at the main changes and improvements made over 25 years in the National Salary Survey.Looking Ahead: An interactive discussion about the Salary Survey for the year 2024, where valuable comments and suggestions from participants were encouraged.Following Mr. Tahirov's welcome address, Mr. Ruslan Aghayev, an expert in Leadership, Management, and Rewards, expressed his gratitude to everyone who has been part of this vital survey over the years. Mr. Aghayev then proceeded to present the latest results and updates on the "AmCham National Salary Survey." He shared insights into the various stages of the survey, highlighted important statistical data, and provided information on potential improvements and innovations for future reports.The presentation was followed by an engaging Q&A session, where all questions and concerns of the participants were addressed by the speakers. Click to see the highlights from the event. 

4th Impact for Breakfast

On October 12, 2023, American Chamber of Commerce in Azerbaijan hosted the 4th "Impact for Breakfast" that had been jointly organized with Education HUB within "Azerbaijan Impact Days". The event offered a unique opportunity to explore the exciting realm of corporate social investing and its profound potential for creating enduring social impact. Guest speakers were Mr. Nicolas Malmendier, Corporate Program Manager at EVPA, Andreja Rosandic, Stakeholder Engagement Manager at EVPA, and Mr. Fikrat Huseynov, Climate Change and Sustainability Services (CCaSS) Senior Consultant at EY.The event was opened with a welcome speech by Ms. Gulnara Aslanbayli, Executive Director of AmCham Azerbaijan. Afterwards, Ms. Gulnara Ismayilova, Program Manager at Education HUB, gave a short overview of the session and introduced the speakers.The first speaker, Ms. Andreja Rosandic delivered a comprehensive presentation on the company profile of EVPA. She talked about their mission, cooperation with capital providers and social innovators, and ultimately, the role in transformative change. The second guest speaker Mr. Nicolas Malmendier shared real-life case studies of successful corporate engagement initiatives to inspire and inform the participants. These stories illustrated how impactful corporate engagement can be in practice and showcased the transformative potential it holds.Finally, Mr. Fikrat Huseynov mentioned three areas of the focus of EY Ripples and gave a detailed overview of one area which is working with impact entrepreneurs. He touched upon EY professional services, digital tools and resources, as well as skills development and coaching for impact entrepreneurs. The meeting was followed by an active Q&A session where all the questions of the participants were addressed. 

AmCham Azerbaijan and Axiom Space Hosted Exclusive Social Event during International Astronautical Congress 2023

On October 4, 2023, the American Chamber of Commerce in Azerbaijan (AmCham Azerbaijan) in collaboration with Axiom Space organized a captivating social event as part of the International Astronautical Congress 2023. The event brought together esteemed guests and leaders in the space exploration industry to celebrate the progress of space technology and foster valuable connections.The evening commenced with a warm welcome from Mr. Simon Jenner, Ecosystem Manager of Axiom Space, who expressed gratitude to all attendees for their presence and support.Ms. Nargiz Nasrullayeva-Muduroglu, President of AmCham Azerbaijan, and Ms. Gulnara Aslanbayli, Executive Director of AmCham Azerbaijan, extended their heartfelt welcome to the distinguished guests. They emphasized their commitment to promoting various sectors in Azerbaijan, particularly space exploration and technology. It was highlighted that the event is an opportunity for AmCham members to establish valuable connections and contribute to the growth of the space sector in the country.Mr. Tejpaul Bhatia, Chief Revenue Officer of Axiom Space, took the stage, captivating the audience with his passion for space exploration. In his address, he expressed gratitude to the hosts and customers, recognizing their pivotal role in Axiom Space's journey.During his speech, Mr. Bhatia unveiled Axiom Space's state-of-the-art space station and a captivating virtual reality (VR) experience, immersing attendees in the wonders of space exploration.Continuing his address, Mr. Bhatia introduced the three remarkable generations of Axiom astronauts, each representing a unique chapter in the company's legacy:Mr. Eytan Stibbe, an embodiment of the Ax-1 mission;Mr. Ali Alqarni, the embodiment of Ax-2 mission;Alper Gezeravci, representative of Ax-3 mission;The astronauts, each with their distinct stories and aspirations, shared their reflections on their awe-inspiring experiences and the profound significance of the evening's gathering.As the evening unfolded, the event featured an exclusive demonstration of the AX-2 video to the audience, providing a glimpse into the exciting future of space exploration.The evening continued with a lineup of captivating shows and experiences, offering both entertainment and enlightenment.Furthermore, guests enjoyed a delightful evening of hors d’oeuvres, drinks, and a lively atmosphere, engaging in enriching conversations, networking, and industry updates with top executives and professionals from around the world.With over 200 attendees, the event drew a distinguished crowd that included high-ranking government officials, representatives of the diplomatic corps, senior executives from the business community, global leaders in the space industry, and AmCham member companies.

AmCham Members’ September Luncheon

On September 28, 2023, the American Chamber of Commerce in Azerbaijan (AmCham Azerbaijan) hosted its Members’ September Luncheon with honourable guest speakers Mr. Samaddin Asadov, Chairman of the Board of Azercosmos, Space Agency of the Republic of Azerbaijan and Dr. Christian Feichtinger, Executive Director of International Astronautical Federation.Opening the luncheon, Member Relations Officer of AmCham Azerbaijan, Ms. Sheyda Mustafabayli welcomed the participants and briefed on the upcoming projects and events of the Chamber.Ms. Nargiz Nasrullayeva-Muduroglu, President of AmCham Azerbaijan, began by requesting everyone to commemorate dear memory of the martyrs, who sacrificed their lives for Azerbaijan's territorial integrity. Thereafter, Ms. President extended a warm and gracious welcome to the distinguished guest speakers at the Luncheon, expressing her heartfelt appreciation for their valuable collaboration. She extended her sincere congratulations on the occasion of hosting the 74th International Astronautical Congress, set to unfold from October 2nd to 4th, 2023, right here in the beautiful city of Baku, Azerbaijan. Ms. Nasrullayeva-Muduroglu conveyed her best wishes for the success of this prestigious event, extending her regards to both organizers and participants alike. She underlined the Chamber's immense pride in its close collaboration with the Congress, which includes a series of engaging social and networking events featuring international speakers representing esteemed global companies participating in IAC 2023.Mr. Samaddin Asadov extended a warm welcome to all event participants and expressed his heartfelt gratitude to the Chamber for providing an invaluable platform for engaging in productive discussions with the business community. The Chairman took immense pride in the momentous occasion of once again hosting the global space community in Baku, exactly half a century after the city's remarkable feat of hosting the 24th International Astronautical Congress, making it the first and only city in the region to achieve such an honor. Ms. Asadov underscored the historic significance of this event for Azerbaijan, emphasizing its role as a cornerstone in the nation's mission to cultivate a robust regional space ecosystem and solidify its standing as a burgeoning spacefaring nation. Furthermore, the Chairman highlighted the anticipation of hosting 4,000 participants from over 100 countries in Baku for IAC 2023, characterizing it as a unique opportunity for attendees to not only delve into the latest advancements in space but also to immerse themselves in the renowned Azerbaijani hospitality and rich cultural heritage.In his address, Mr. Feichtinger provided a comprehensive overview of the rich history and dynamic activities of the International Astronautical Federation (IAF), shedding light on its past achievements and future endeavors. Delving into the exciting prospects that lie ahead, he highlighted the significance of hosting IAC 2023 in the vibrant city of Baku, emphasizing how this gathering of global space leaders promises to be yet another milestone in the Federation's journey. Mr. Feichtinger passionately spoke about the successful collaborative initiatives undertaken with the IAF, including recent standout events such as The Global Space Conference on Climate Change 2023, the International Astronautical Congress 2022 in Paris, and the Global Conference on Space for Emerging Countries 2022, underscoring the Federation's commitment to fostering international cooperation and innovation in the field of space exploration.The event proceeded with member companies giving presentations about their portfolios and activities. Mr. Emil Imamov, celebrating CJ ICM's 20th anniversary, led the first presentation, followed by Mr. Farrukh Farajullayev, CCO of AzIntelecom, delivering the second presentation.Around 150 people participated in the luncheon including high-ranking government officials, representatives of diplomatic corps, and senior executives from business community and member companies.Click for highlights from the Luncheon. Click for all the media from the Event.

AmCham Executive Director Ms. Gulnara Aslanbayli participated in the ACE Best Practice Sharing Conference

On September 26-29, 2023, Executive Director of American Chamber of Commerce in Azerbaijan (AmCham Azerbaijan) Ms. Gulnara Aslanbayli actively participated in the  Best Practice Sharing Conference organized by AmChams in Europe (ACE) and the American-Hellenic Chamber of Commerce (AmCham Greece). The event featured outstanding three-day discussions, enlightening insights, and valuable connections.More than 60 individuals from over 35 AmChams gathered at the origin of democracy to foster relations and motivate cooperation. First day started with the Welcome and Brainstorming Session, filling perspective for the future of AmChams and revealing our united commitment to progress. Ms. Gulnara Aslanbayli participated in dialogues during Breakout Sessions that addressed Organisational Sustainability, Member Engagement, Economic Challenges, Accountable Business, and several other topics. On the second day, the event examined the EU Pharma Package and explored the challenges and opportunities in the European pharmaceutical sector. Industry experts provided valuable insights, and participants were given an exclusive tour of The Ellinikon Experience Centre, where they presented an ambitious sustainability-focused urban development project at Athens’ former airport. The ACE 60th anniversary gala dinner marked a significant occasion with a fireside chat featuring Dr. Albert Bourla, CEO of Pfizer, creating a perfect blend of networking opportunities and reflection on six decades of AmCham collaborations.Third day started with the ACE Presidents & CEOs Breakfast Briefing with Industry & Investment Leaders, where industry leaders examined the optimistic opportunities for the future. The Creative Network presentations showed innovative ideas from various AmChams worldwide, featuring projects that advance economies, improve corporate governance, foster digital education, and strengthen resilience.Within the framework of this highly productive visit, The ACE Best Practice Sharing Conference was a great success, building inspiration, and motivation to strengthen transatlantic relations and promote innovation within the business environment.

New appointment for Construction Working Group

AmCham Azerbaijan is pleased to announce the new appointment of Mr. Farid Safguliyev, as a Deputy Chairperson of the Construction Working Group.  Please note that those who would like to become a member of the working group and have suggestions regarding potential discussion topics, can reach out to us at chamber@amchamaz.org. Mr. Farid Safguliyev is the Founder and CEO of FARCHITECTS Group, which includes BRG Construction and FARCHITECTS Hospitality. FARCHITECTS collaborates with both national and international clients, in and out of Azerbaijan, and provides a full spectrum of services including design, construction, fit-out, decoration and furniture to assets ranging from private residences and offices to luxury restaurants and five-star hotels. Prior to establishing his own business, Mr. Safguliyev spent twelve years in various construction and design-related roles. His most recent position was that of Construction Manager in one of the leading companies in the region – PASHA Construction. In this role, he successfully managed international projects – including the redesign of the "Shirvan" Restaurant in Paris and the creation of the "Jardin D’Azerbaijan" (Park of Azerbaijan) in Evian – as well as the design and outfitting for iconic restaurants and primary business estates in Baku.Mr. Safguliyev has a bachelor’s degree in architecture and construction. He is married and has a daughter.We extend our best wishes to Mr. Safguliyev as he embarks on his new role, hoping for his success and fulfillment in it. 

AmCham Azerbaijan's Back-to-Business Cocktail Reception launches the New Business Season

On September 18, 2023, the American Chamber of Commerce in Azerbaijan, welcomed over 200 members of its community for its annual Back-to-Business Cocktail Reception. Held as the summer holiday season came to a close, the event marked the start of a vibrant new business chapter filled with new opportunities and events. Ms. Gulnara Aslanbayli, Executive Director of AmCham Azerbaijan, and Ms. Nargiz Nasrullayeva-Muduroglu, President of AmCham Azerbaijan, extended a warm welcome to attendees, expressing their pleasure at reconnecting after the summer break and offering best wishes for a prosperous year ahead.Then, Mr. Hugo Guevara, Deputy Chief of Mission of U.S. Embassy in Baku, noted the United States' commitment to being a partner in promoting economic diversification and maintaining stability and prosperity in Azerbaijan. He emphasized the Embassy's ongoing collaboration with the American Chamber of Commerce in Azerbaijan to create opportunities for U.S. businesses.Ilgar Mehti, AmCham First Vice-President and Director of Ekvita, extended his warmest welcome to all the guests and pointed out the long-term fruitful cooperation between Ekvita and AmCham Azerbaijan, expressing the willingness to commit to this partnership for the years ahead. He also emphasized that Ekvita known for its remarkable achievements in the industry is joyously celebrating 15th anniversary this year. Then, Mr. Irakli Gabriadze, General Manager of Procter and Gamble, noted the celebration of the company's 25th anniversary this year. He shared insights into the company's history and its longstanding cooperation with the Chamber.The evening featured delectable cuisine, lively music, and ample networking opportunities, fostering connections among the AmCham community.The event was held with the generous sponsorship of Ekvita and Procter&Gamble. 

A meeting between AmCham Human Resources & Labor Committee and Ministry of Labor and Social Protection of the Population of Azerbaijan was held

On August 8, 2023, the Human Resources and Labor Committee of the American Chamber of Commerce in Azerbaijan had a meeting with representatives of Ministry of Labor and Social Protection of the Population of Azerbaijan. The discussions focused on recent social reforms and accomplishments within the country, highlighting the strides made in this regard.The meeting delved into the steps taken to enhance labor legislation in response to contemporary challenges and the evolving demands of the labor market. Presentations were given on the recent modifications in labor legislation. Notably, the significance of the "Labor and Employment" subsystem was underscored, with a particular emphasis on the pivotal role anticipated from the newly established Labor Protection Center in furnishing methodological assistance to employers.The representatives of the Ministry's Labor Policy Department and the State Labor Inspection Service, alongside representatives from the Committee, engaged in a fruitful exchange of viewpoints. This dialogue extended to matters related to the practical implementation of the Labor Code, providing an opportunity for the Committee members to share their perspectives and recommendations.