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Azerbaijani parliament adopts draft law on writing off debts on compulsory state social insurance

06 March 2018 10:56 (UTC +04:00)

Azerbaijani parliament has today discussed the draft law "On regulation of compulsory state social insurance debts".

APA-Economics reports that chairman of committee on labor and social policy Hadi Rajabli said that the draft law envisages three issues: ‘One of the issues is related to debts incurred on insurance fees as of 2006. Amount of these debts is AZN 100 million. The second issue is about financial sanctions from 2006 to January 1, 2015, which amount to AZN 55 million. The third issue is debts incurred from January 1, 2015 to April 1, 2018. Amount of these debts is AZN 26.7 million’.

Azerbaijani president Ilham Aliyev offered to write off debts which have incurred as of January 1, 2006 and have not been paid up to April 1, 2018, as well as financial sanctions as of January 1, 2015 in the field of mandatory state social insurance.

According to the draft law, the insurers’ debts which have incurred as of January 1, 2006 and have not been paid up to April 1, 2018 and will be written off.

At the same time, insurers’ debts on financial sanctions for violation of mandatory state social insurance rules which have incurred as of January 1, 2006 and have not been paid up to April 1, 2018 will be written off.

Financial sanctions are expected to be written off in the following order:

- in case the insured person pays 10 percent of the debt on financial sanctions in April-May 2018, 90 percent of the amount is written off;

- in case 30 percent of the debt on financial sanctions is paid in April-July 2018, 70 percent of the amount is written off;

- in case 50 percent of the debt on financial sanctions is paid in April-September 2018, 50 percent of the amount is written off.

Rest of debts which have not been paid as of April 1, 2018 in spite of court decision will also be written off.

The draft law was adopted by voting.