Baku
Bakı booked.net
+30°C
FreeCurrencyRates.com

Changing social insurance rates to help reduce informal employment in Azerbaijan - MP

  16

Baku, Azerbaijan, Nov. 8

By Elchin Mehdiyev - Trend:

There are plans to attract over one million people engaged in informal economic activity in Azerbaijan to paying contributions on compulsory social insurance, Chairman of Azerbaijan’s parliamentary committee on labor and social protection of the population Hadi Rajabli said at the committee’s meeting Nov. 8.

He noted that in order to reduce informal employment, reduction in the rate of compulsory social insurance for entrepreneurs is expected. Rajabli said that fundamental reforms in the areas of taxation are also expected.

The amendments proposed to the tax legislation for 2019 envisage introduction of the differentiation of contributions on compulsory social insurance. Thus, if the employee’s salary is 200 manats, the social insurance contributions will remain at the current level: the employee pays 3 percent of the salary, and the employer pays 22 percent.

If the employee’s salary exceeds 200 manats, it is proposed to apply another deduction principle: the employee pays 6 manats and 10 percent of the amount exceeding 200 manats, and the employer pays 44 manats and 15 percent of the amount exceeding 200 manats.

These changes also affect those working in the private sector and not engaged in the oil and gas sector. At the same time, the Ministry of Taxes will control social security payments and unemployment insurance.

(1.7 manats = 1 USD on Nov. 8)

Follow Trend on Telegram. Only most interesting and important news

Xəbər Lenti

| Azerbaijan to present note of protest to US for issuing visa to Saakyan

| Best moments from Day 1 of FIG Acrobatic Gymnastics World Cup (PHOTO)

| AGF Trophy awarded in FIG Acrobatic Gymnastics World Cup in Baku (PHOTO)

| Rouhani sees Iran, Iraq expanding trade despite U.S. sanctions

| Turkey demands US to stop supporting PYD/YPG terrorist groups

| Baku hosts opening ceremony of FIG Acrobatic Gymnastics World Cup (PHOTO)

| Deputy minister: After election of First VP Mehriban Aliyeva as President of Azerbaijan Gymnastics Federation great turning point was observed in this field

| Ancient river of Bartın in Turkey turns black due to pollution

| France’s biased steps incompatible with OSCE MG co-chair commitments, Baku says

| FIG Acrobatic Gymnastics World Cup in Baku organized very well - Belarusian athlete

| Presidential Administration: Azerbaijan, Belarus eye to ink many documents

| Day 1 of FIG Acrobatic Gymnastics World Cup kicks off in Baku (PHOTO)

| Illegal activity in occupied Azerbaijani lands by Armenia aims to keep status quo

| Azerbaijani economy grows nearly 1%

| Baku hosts int’l conference on illegal activity in occupied Azerbaijani lands (PHOTO)

| Uzbek Karakalpakstan's industrial sector growing

| Iran's president receives his Iraqi counterpart

| Azerbaijan eyes to amend rules for social insurance contributions

| Official rules out rumors on Iran-Iraq food-for-oil exchange

| Automated troop command & control system fully applied in Azerbaijan for first time (PHOTO)

| Alat-Astara-Iran border highway may become tollroad

| Bryza says French MPs’ meeting Sahakyan would contradict Paris’s MG co-chair status

| Excise taxes on energy drinks & minimum prices for wines proposed in Azerbaijan

| Azerbaijan offers ambitious projects to Netherlands to step up trade (Exclusive)