Income tax on rent, worked example, in Azerbaijan

November 15, 2016

Non-resident couple's rental income1      
Monthly Rental Income2 1,500 6,000 12,000
Annual Rental Income 18,000 72,000 144,000
= Taxable Income 18,000 72,000 144,000
Income Tax4
Flat rate 14% 2,520 10,080 20,160
Annual Income Tax Due 2,520 10,080 20,160
Tax Due as % of Gross Income 14.00% 14.00% 14.00%
Source:
Global Property Guide research

Notes


1 The property is jointly owned by husband and wife.

2 Exchange rate used: 1.00 US$ = 1.80 AZN

3 Rental income earned by nonresident individuals is taxed at a flat rate of 14%.