Azerbaijan plans to tax the difference between the sale proceeds of bonds and their purchase cost plus related expenses, under amendments to the Tax Code. The change is included in a draft law tied to the 2027 state budget.
Under the proposed rule, the purchase price of a bond, other transaction-related expenses and commission fees will be deducted from the income earned on its sale. The resulting difference — the net profit margin — will become the object of taxation on bond sales in Azerbaijan.
The draft law has been included in the package of bills accompanying the 2027 state budget.
Current legislation applies this principle only to shares. The difference between the proceeds from selling publicly offered shares traded on a regulated market — whether on a stock exchange in Azerbaijan or abroad — and their purchase cost and other expenses is already subject to taxation. The new amendment would extend the same approach to bonds.
