Municipal taxes are collected on a legal basis.
Medianews.az, citing Milli.Az, states that according to the Tax Code, local taxes are collected by municipalities.
If a citizen has property registered in the state registry and the ownership right belongs to them, that person must pay the municipal tax. The property tax on buildings privately owned by individuals is calculated by the municipality in the area.
The tax is calculated according to each square meter of residential and other buildings.
Municipalities must provide tax payers with payment notifications by August 1 each year. The amount indicated in the notification can be paid in two installments: the first installment by August 15 and the second installment by November 15. Payments are transferred to the local municipality budget.
If tax payments are not made within the specified deadlines, a penalty interest rate of 0.1 percent of the amount per each day of delay may be applied.