Parliament approves new amendments

/By Azernews/

By Nigar Abbasova

Milli Majlis [Azerbaijan parliament] made several amendments to the legislation during its regular plenary session on May 6.

The parliament adopted with a majority of votes the amendments proposed to the Code of Administrative Offences in the plenary session on May 3 and envisaging stiffening of penalties for fake bankruptcy, violation of customer’s rights, illegal entrepreneurial activity, holding lotteries and gambles and other irregularities.

MPs also ratified an agreement on the “Exemption of visa regime” with Romania for service passport holders.

Import and sale of certain products is exempt of VAT in accordance with the amendment adopted to the Code of Tax. In compliance with the amendment import and sale of pedigree cattle, seeds and planting stocks, mineral fertilizers as well as laboratory equipment, machines for growing, refinement and assortment of seeds, veterinary drugs for diagnostics and preventive treatment of live-stock animals and facilities used for agricultural purposes are exempt of VAT.

Amendment adopted to the Customs tariff law specifies that starting from May 1, 2016 import of goods by the industrial park residents is exempt of customs duties for a term of five years. Amendments to the Social insurance law envisions that foreign residents of industrial parks are also exempt from payments for compulsory social insurance starting from May 1, 2016, was approved with a majority of votes.

MPs also approved amendments and additions to the Banks law. In accordance with the amendments, decision on making of a deal to the amount of five or more percent of the volume of bank resources with individuals associated with bank will be made on the ground of independent audit report and shareholders resolution. Similar amendment is specified for the privileges of supervisory council. Thus, decision making in the cases when the amount of a deal with the individuals associated with the bank is five percent of bank resources (unless the case is in the authority of bank shareholders) is the responsibility of Supervisory council. From now on, banks are not going to deal with individuals acting on behalf of a bank.

The next plenary session is scheduled for May 10.