To further strengthen the exchange of tax information, Kazakhstan is ready to expand its cooperation with Azerbaijan within international initiatives, enhance bilateral data exchange mechanisms, and boost the digitalization of tax administration, said Kairat Dzhumagulov, Deputy Chairman of the State Revenue Committee of Kazakhstan’s Ministry of Finance, in an interview with Trend.
According to him, tax and financial cooperation between Kazakhstan and Azerbaijan is developing actively and is supported both by bilateral and multilateral mechanisms. One of the key tools in this cooperation is the Convention between the two countries on avoiding double taxation. "This convention plays a crucial role in creating a transparent tax environment and eliminating double taxation for businesses and citizens in both countries," he noted.
Kazakhstan and Azerbaijan also actively collaborate within the Coordinating Council of Tax Authorities (CCTA), which enables them to exchange experiences, share best practices, and improve tax administration. "We are also involved in international initiatives focused on tax transparency, including the automatic exchange of financial information under the Common Reporting Standard (CRS) and information exchange upon request (EOIR) in line with the OECD Global Forum requirements," Dzhumagulov added.
He also highlighted the potential for cooperation between the two countries within the Turkic States Organization. "This potential is significant, given the shared historical and cultural ties between our peoples. It fosters a deeper mutual understanding, strengthens trust, and facilitates cooperation not just in the economic, but also in the cultural sphere," he said.
In addition, Kazakhstan and Azerbaijan play a pivotal role in the development of the Trans-Caspian International Transport Route, which is a key trade link between Asia and Europe. "This cooperation enables both countries to leverage transit opportunities and develop energy partnerships, particularly in the transportation and processing of energy resources".
He also stressed the importance of strengthening bilateral cooperation on the international stage. "The signing of several key documents at the X Meeting of Customs Administrations in Baku, including the roadmap for implementing the eTIR procedure, marks an important step toward simplifying customs procedures and improving information exchange between our countries," Jumagulov noted.
He highlighted the significant potential for enhancing collaboration in several key areas. "First and foremost, expanding automatic information exchange is a priority. Implementing technologies like the Common Reporting Standard (CRS) will allow us to quickly exchange data on taxpayers’ financial accounts. This will increase transparency and significantly reduce the risk of tax evasion," Dzhumagulov explained.
He also underscored the importance of joint projects focused on the digitalization of tax administration. "We’re ready to share our experience in deploying digital platforms and tools that have already proven effective in Kazakhstan, and to learn from Azerbaijan’s best practices. Working together in this area will help us achieve high standards in managing tax processes more swiftly," he added.
Training and knowledge exchange also play a crucial role in strengthening bilateral cooperation. "Regular seminars, training sessions, and working meetings between specialists from our tax authorities will enhance staff qualifications and improve the quality of administration".
Furthermore, he stressed that one of the main goals is to improve the legal framework. "We’re eager to collaborate on harmonizing tax legislation. This will help address any gaps and create a more favorable environment for business and investment".
He further emphasized the significant opportunities for joint projects across several key sectors. "First and foremost, energy. We are exploring the use of transport corridors like Baku-Tbilisi-Ceyhan and Baku-Supsa for the transportation of oil and gas. This will not only diversify supply routes but also improve logistics, which is crucial for enhancing energy security".
He also stressed the importance of advancing renewable energy: "We are focusing on the development of solar and wind power plants, aligning with global trends toward cleaner energy sources".
On the subject of transport and logistics, Jumagulov pointed out that "modernizing infrastructure and developing integrated systems will reduce logistics costs and streamline transport flows, helping to strengthen economic integration between Central Asia, the Caucasus, and Europe".
He also highlighted the potential for collaboration in the agro-industrial sector. "We can exchange agricultural technologies and develop joint processing capacities, improving product quality and boosting food security".
"Innovation and high technology are also key areas for cooperation. Joint efforts in economic digitalization, cybersecurity, and the creation of tech clusters will help accelerate technological progress and attract more investment," Jumagulov concluded.
