Baku, August 5, AZERTAC
It is sometimes argued that the State Tax Service benefits from higher tax rates. However, such an approach is misguided,” Orkhan Nazarli, Head of the State Tax Service under the Ministry of Economy, said in an interview with AZERTAC and REAL Television.
“We have clearly set out our strategy, future vision, and strategic goals and presented them to the public. Annual reports are prepared in line with these objectives, with the first one released last year as a sign of our accountability to society.
Beyond meeting planned targets, the State Tax Service focuses on reducing the tax gap, strengthening public trust, and increasing voluntary tax compliance,” Nazarli emphasized.
Noting that no tax authority would have an interest in increasing tax rates while pursuing such objectives, Orkhan Nazarli added: “Higher tax rates make voluntary compliance more challenging and require greater reliance on enforcement measures. This is not our objective. Our main priority is to build an environment where taxpayers voluntarily meet their tax obligations.”