WorldTax CompareAll Comparisons

Indonesia vs Azerbaijan
Tax Rate Comparison

Enter your income below for a personal tax estimate, then scroll down for full rate breakdowns.

🇮🇩 Indonesia
vs
🇦🇿 Azerbaijan
Tax Year:

💰 Personal Income Tax Calculator

Enter your income to see your estimated annual tax liability in each country — side by side.

Enter your annual income above to see your personal tax comparison →

Individual Income Tax (Top Marginal Rate)

Top Income Tax Rate
5–35%
Stable; resource wealth affecting fiscal planning
No change
14–25%
Stable; post-war reconstruction boosting economy
No change

VAT / GST / Sales Tax

VAT / GST / Sales Tax
12%
12% maintained; digital economy compliance growing
No change
18%
18% maintained
No change

Corporate Tax Rate

Corporate Tax Rate
22%
Potential reduction to 20% under investment push
No change
20%
20%; Karabakh reconstruction zone incentives
No change

Capital Gains Tax

Capital Gains Tax
~2.5%
No change expected
No change
20%
20% via income
No change

Social Security & Payroll

Social Security / Payroll
~18–23%
Universal health coverage expansion continuing
No change
~25%
DSMF structure stable; pension adequacy reform
No change
State, Regional & Local Taxes

🇮🇩 IndonesiaProvincial & Regional Taxes

Indonesia's 38 provinces and 514 regencies/cities levy their own taxes. Provinces charge vehicle tax (Pajak Kendaraan Bermotor) at 1%–2%, vehicle transfer tax, and fuel tax (Pajak Bahan Bakar Kendaraan). Regencies/cities levy hotel tax (10%), restaurant tax (10%), entertainment tax (0%–75%), and land/building tax (Pajak Bumi dan Bangunan - P2). The 2022 tax reform (Harmonisasi Peraturan Perpajakan) unified many tax procedures. E-commerce platforms must now collect VAT.

🇦🇿 AzerbaijanMunicipal & Local Taxes

Azerbaijan's 67 districts and Baku have limited independent tax powers. The Ministry of Taxes administers all national taxes centrally. Municipalities collect land and property taxes within national frameworks. Oil and gas companies operate under Production Sharing Agreements (PSAs) with the state oil company SOCAR, which have special tax provisions. ASAN (service centres) have modernized tax filing considerably. The Strategic Road Map (2016) targets economic diversification away from oil revenue dependency.

⚠️ Disclaimer: Rates shown are standard top/headline rates for informational purposes. Actual tax liability depends on income level, residency, deductions, and tax treaties. 2025–2026 data reflects announced or enacted rates and may be subject to change. Not financial or legal advice.

Indonesia vs Azerbaijan: Key Tax Differences (2026)

💰 Income Tax: 🇮🇩 Indonesia has a higher top income tax rate (5–35% vs 14–25%). 🇦🇿 Azerbaijan is more favourable for high earners.

🛒 VAT/Sales Tax: Azerbaijan has a higher consumption tax (12% vs 18%).

🏢 Corporate Tax: 🇦🇿 Azerbaijan offers a lower corporate rate (20% vs 22%), which can influence business location decisions.

📈 Capital Gains: 🇮🇩 Indonesia taxes investment gains at a lower rate (2.5% vs 20%), benefiting investors.

Related Comparisons

🇮🇩 Indonesia vs 🇩🇪 GermanyTax comparison🇮🇩 Indonesia vs 🇲🇾 MalaysiaTax comparison🇮🇩 Indonesia vs 🇵🇭 PhilippinesTax comparison🇮🇩 Indonesia vs 🇸🇬 SingaporeTax comparison🇮🇩 Indonesia vs 🇹🇭 ThailandTax comparison🇮🇩 Indonesia vs 🇬🇧 United KingdomTax comparison🇮🇩 Indonesia vs 🇺🇸 United StatesTax comparison🇮🇩 Indonesia vs 🇻🇳 VietnamTax comparison🇮🇩 Indonesia vs 🇨🇳 ChinaTax comparison🇮🇩 Indonesia vs 🇭🇰 Hong KongTax comparison🇮🇩 Indonesia vs 🇯🇵 JapanTax comparison🇮🇩 Indonesia vs 🇲🇳 MongoliaTax comparison
All 🇮🇩 Indonesia comparisons →All 🇦🇿 Azerbaijan comparisons →