By Azernews

By Ayya Lmahamad

Azerbaijani Parliament has adopted the state budget for 2023 in the third reading, Azernews reports per Trend.

On December 9, the state budget of Azerbaijan for 2023 was discussed at a meeting of the parliament. During the discussions, the MPs shared their proposals and opinions. After the discussion, the state budget was put to a vote and adopted in the third reading.

According to the amendments, both the revenue and expenditures of the state budget were increased by AZN53 million ($31.1m) respectively. Revenue for 2023 will total AZN30.7 billion ($18bn), while expenditures will total AZN33.3 billion ($19.5bn).

Bill on subsistence minimum

The bill “on the subsistence minimum for 2023” was discussed, put to the vote and adopted in the third reading.

According to the bill, the subsistence minimum for 2023 is set at AZN246 ($144), for the working population at AZN261 ($153), for retirees at AZN199 ($117) and for children at AZN220 ($129).

Bill on threshold of need criterion

The threshold of need criterion for 2023 has been raised by 23 percent, compared to 2022, and will amount to AZN246 ($144).

Thus, the thresholds of the subsistence minimum and the need criterion for 2023 are equalized.

The bill "on the threshold of need criterion in Azerbaijan for 2023" was discussed, put to the vote and adopted in the thrid reading.

State Social Protection Fund budget for 2023

Moreover, the bill “on the budget of the State Social Protection Fund for 2023” was discussed in the third reading and adopted at the plenary session.

The total expenditures of the fund for 2023 are projected at more than AZN6 billion ($3.6bn).

Unemployment Insurance Fund budget for 2023

The bill “on the budget of Azerbaijan’s Unemployment Insurance Fund for 2023” was discussed, put to the vote and adopted in the third reading.

According to the bill, the income and expenses of the fund are approved at the level of AZN212.6 million ($133.2m).

In the income structure in 2023, income in the form of unemployment insurance premiums will amount to AZN159.5 million ($93.8m), which is 75 percent of the fund's income, unused funds of the fund at the end of the previous year AZN53.3 million ($31.3m), or 24.9 percent of the income.

VAT refund for cash & cashless payments

Moreover, the parliament also discussed the bill on increasing the VAT refund for cashless payments and decreasing it for cash transactions.

In this regard, the relevant draft proposes to reduce the VAT refund during cash transactions from 10 to 5 percent and increase it from 15 to 17.5 percent for cashless payments in order to promote non-cash transactions.

The bill was put to the vote and adopted in the third reading.

Exemption of raw & other materials from VAT in liberated territories

The issue of exempting raw and other materials, that are used in the country's liberated lands and imported by residents, from VAT was also discussed. The relevant bill was put to the vote and approved in the third reading.

The bill provides for exemption from import duties on raw and other materials used in the production activity by residents of liberated lands, registered for VAT purposes, for a period of 10 years from January 1, 2023. The list of these materials will be approved by the relevant executive authority.

Lump sum payments for experts working in liberated lands

Likewise, a bill amending the law "on social benefits" was discussed at the parliament's meeting. Following parliamentary discussions, the changes were put to a vote and adopted.

According to the changes, paragraph 4.0.2.4 of Article 4 of the law establishes an allowance to support the primary living conditions of experts working on Azerbaijan's liberated lands. Meantime, Article 7.0.14 defines the terms for granting benefits.

Following Article 21-1 of the Labor Code of Azerbaijan, from January 1, 2023, a one-time allowance for five years will be provided to support living conditions under employment contracts for at least one year to work in the liberated territories.

Benefits for those working on liberated territories

Additionally, duties and benefits for those working on the liberated lands of Azerbaijan have been approved.

A bill amending the Labor Code of Azerbaijan was discussed at the parliament's meeting.

Following the changes, the term "expert working in the liberated territories of Azerbaijan" is added to the code.