Draft Law "On the Securities Market" to Be Discussed at Spring Session of Parliament

Preparing for the past three years, the draft law "On the Securities Market" has passed all stages of completion and approvals, and will be presented for discussion by the spring session of the Milli Majlis, the report said the State Securities Committee for 2014.

In parallel, prepared were 35 sub-regulations to be adopted after the approval of the bill.

The new law will unify local laws on securities market to international practice in terms of the formation of a legal and regulatory framework. It will also provide opportunities capitalization of the economy, provide reliable risk management.

At the same time SCS submitted to the Ministry of Tax proposals aimed at increasing activity in the securities market. We are not talking about the use of some preferential tax treatment or incentive on the securities market. As explained by the newspaper Vergiler (Taxes) (http://vergiler.az/art-view/338) SSC chair Rufat Aslanli, the companies whose securities are publicly traded on the stock market, will be applied symbolically tax relief over three years.

BSE has established its own rules of the first and second level of listing companies (http://www.bfb.az/dload/aze/BFB-de_Listinqi_q.pdf). These regulations set out requirements for financial statements disclosure. Wishing to get on the stock exchange listing should undergo a financial audit, and provide the public with information about its activities. Therefore, the transparency of the company eliminates the possibility of tax evasion and other imperfections on financial flows, according to the SSC. It is expected that these and others. Proposals will be discussed this year in Parliament for inclusion in the tax code. 08D