Electronic Submission of Financial Statements Begins

By Resolution No. 262 of the Cabinet of Ministers of the Republic of Azerbaijan dated September 11, 2025, the Regulation on the “E-accounting” information system has been approved. This step constitutes an important stage of digital transformation in the field of accounting in the country and creates opportunities for entrepreneurs to submit financial statements regardless of time and location.

Specifically, taking into account confidentiality requirements, the foundation has been laid for the electronic submission of financial statements that must be submitted by accounting entities to the Ministry of Finance of the Republic of Azerbaijan in accordance with the Law "On Electronic Signature and Electronic Document."

Obligation to Submit Financial Statements

According to the Law “On Accounting”, commercial organizations must submit annual financial statements (reports) to their parent organizations and/or founders no later than April 30 of the year following the reporting period, and consolidated financial reports no later than June 30. The persons receiving the reports provide information about the submission of these reports to the Ministry of Finance of the Republic of Azerbaijan within 10 days after the last submission date of the report.

It should be noted that the relevant rules ("Rules for submission and publication of annual financial reports and consolidated financial reports of commercial organizations") apply to all other commercial organizations, except for credit institutions, insurers, reinsurers, legal entities that are insurance brokers and legal entities exclusively engaged in insurance agent activities, investment funds and managers of these funds, as well as licensed persons in the securities market, and micro-entrepreneurship entities.

Security of the E-Accounting System

A number of measures are envisaged to ensure the security of the “E-accounting” system. The “Mobile Priority Configuration” principle is applied in the establishment of the system, and backup copies of all data are stored in the “Government Cloud.”

Subsystems and Functional Capabilities

In the “E-accounting” system, in accordance with the requirements of the Law “On Accounting,” commercial organizations, public legal entities, budget organizations, and non-governmental organizations can send financial reports electronically through relevant subsystems.

In addition, the notification subsystem also carries an important function. Through this, notifications are sent to organizations that must submit annual financial reports and to mandatory audit subjects. Finally, the accounting subsystem is intended for the placement of software that ensures the maintenance of accounting records of organizations and educational information.

Usage Rules and Access Opportunities

Access opportunities to the “E-accounting” system are organized in different formats for various user categories. The Ministry of Finance's system use, which has state information resources, is carried out through integration via the Electronic Government Information System. Other institutions and legal entities can use the system through electronic cabinets.

The system is also accessible to individuals. After being identified through the Unified Login System, they will have the opportunity to access automatically created personal electronic cabinets and benefit from the services provided by the system. This is evaluated as an important step in strengthening public oversight mechanisms and increasing transparency in the business environment.

Innovative Regulation Mechanisms in Rights and Obligations

The Ministry of Finance has the right to cancel or limit access to the system when participants and users commit acts that cause disruption to the secure and efficient operation of the system. Also, when information about documents required for the provision of state services is available in other state information resources, the Ministry must take measures to obtain that information from the primary source. This step significantly increases time and financial efficiency in the relations of accounting entities with state institutions.

The owner of the “E-accounting” system, namely the Ministry, has the obligation to ensure the provision of electronic services through the Electronic Government Information System based on the "one window" principle. It must also create conditions for the Special Communication and Information Security State Service to conduct on-site inspections for monitoring and auditing the system. As a result of these steps, business entities will be able to carry out all necessary operations through a unified interface instead of dealing with separate systems and be assured of the legal protection of those operations.

Liability for the Breaches 

It should be noted that according to the Code of Administrative Offences: 

for violations of legally established rules related to the preparation, submission, publication of financial reports and consolidated financial reports and other reports and information that must be submitted by accounting entities to the body (institution) determined by the relevant executive authority and to the Central Bank of the Republic of Azerbaijan, including the reflection of information and indicators in reports and other information forms required by law, as well as the storage of accounting documents, and also for not maintaining accounting in accordance with the requirements of the Law of the Republic of Azerbaijan "On Accounting," officials are fined from three hundred to four hundred manats, and legal entities are fined from one thousand five hundred to two thousand manats.

For the preparation of financial reports, their proper submission, and compliance with accounting legislation, contact us:

Email: [email protected], mobile: +994 50 289 89 73