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of June 14, 2005 No. 926-IIG

About family peasant economy

(as amended on 22-06-2021)

This Law establishes legal and organizational basis of activities of family peasant economy in the Azerbaijan Republic.

Chapter I. General provisions

Article 1. Concept about family peasant economy

1.1. Family peasant economy - joint implementation of productive and other economic activity (production, processing, storage, transportation and sales of products) in the rural zone the family members and persons acting together with them on the basis of the individual work and property which is at them in property or lease.

1.2. The family peasant economy can consist of one person, family members and persons acting together on the basis of family relations or other relations.

1.3. The family peasant economy is the subject of managing who is engaged in all the types of economic activity which are not prohibited and not limited by the legislation in the rural zone, and its activities are not considered entrepreneurship.

1.4. The status of family peasant economy is drawn up by the document handed to family members by body which keeps their account.

1.5. The upper limit of annual turnover of family peasant economy is set and changes based on the offer of relevant organ of the executive authority relevant organ of the executive authority.

1.6. The family peasant economy is considered begun activities from the date of acceptance on accounting in the procedure established present By the law.

1.7. The family peasant economy is controlled the head of economy elected as his members.

Article 2. Legislation of the Azerbaijan Republic on family peasant economy

The legislation of the Azerbaijan Republic on family peasant economy includes the Constitution of the Azerbaijan Republic, the Civil code of the Azerbaijan Republic, other laws of the Azerbaijan Republic, this Law, and also other regulatory legal acts adopted according to them.

Article 3. The legislation purpose about family peasant economy

The purpose of the legislation on family peasant economy is support of development in the rural zone of the farms based on family work, stimulation and increase in efficiency of employment, expansion of alternative sources of the income and acceleration of development of rural zones.

Article 4. Law scope

4.1. This Law extends to the physical persons operating in the procedures and conditions established present By the law in the rural zone on the basis of use of the earth and property which is at them in property and lease.

4.2. The legal entities acting in the rural zone, the physical persons carrying on business and garden farms are not ranked as family peasant economy.

Article 5. Accounting of family peasant economy

5.1. The accounting treatment for family peasant economy is established by relevant organ of the executive authority.

5.2. Account of family peasant economy is kept by municipalities of the corresponding territories. To members of family peasant economy the municipality issues the certificate confirming their status, labor activity and working life which content and deliveries is established by relevant organ of the executive authority. The fee is not paid for delivery of the certificate.

5.3. The state registration of family peasant economy is not required.

Chapter II. Organization of family peasant economy

Article 6. Property of family peasant economy

6.1. The property of family peasant economy for implementation of economic activity consists of the parcels of land, structures, constructions and other production and not production means which are in its property or in lease, commodity and material remaining balance, money, etc.

6.2. The property used by family peasant economy according to the legislation can be property of one of members of economy, general equity and in common joint property or leased.

6.3. The citizens and the military personnel who retired, constantly living in the respective settlement, did not receive the parcel of land which is on accounting persons interested to be effective as family peasant economy, using the state and municipal lands in legislative procedure, have the privilege in case of lease or the redemption of the earth.

6.4. Turnover of property and the parcel of land of family peasant economy is performed according to the procedure, established civil and land by legislations of the Azerbaijan Republic.

6.5. The benefit (in the form of the income, harvest, etc.) received from use of property of family peasant economy is joint property of members of economy and is distributed by the head of economy according to the procedure, stipulated by the legislation or the agreement.

Article 7. Rights of family peasant economy

7.1. The family peasant economy has the following rights:

7.1.1. according to the legislation independently to perform activities on the earth and on the basis of other property, independently to dispose of use of property and the received benefit;

7.1.2. open bank accounts and other credit institutions, be member of credit unions and use their services according to the procedure, established by the legislation;

7.1.3. redeem or lease the earth and property from the owner in the procedure established by the legislation;

7.1.4. in accordance with the established procedure to receive appropriate assistance from the international organizations and funds;

7.1.5. create associations according to the relevant legislation and build cooperative bonds;

7.1.6. be provided with the work pension established by the legislation and receive public social benefits in the cases established by the legislation and procedure;

7.1.7. in stipulated by the legislation procedure to insure property, to receive compensation for the caused damage and losses and other rights established by the legislation.

7.2. The rights of members of family peasant economy are protected in the procedure established by the legislation of the Azerbaijan Republic.

Article 8. Tasks of family peasant economy

8.1. Tasks of family peasant economy following:

8.1.1. provide use of the parcel of land to destination and according to legal regime;

8.1.2. perform the relevant agrotechnical, economic and organizational activities providing fertility of lands;

8.1.3. observe requirements of legal acts for the earth, water, the woods and about environmental protection;

8.1.4. to timely pay taxes, fees on the compulsory national social insurance and other payments established by the law;

8.1.5. observe health, ecological and other requirements, standards on quality of the made products, the performed work and the rendered services;

8.1.6. be registered in the relevant municipality of the settlement where it functions;

8.1.7. fulfill requirements of the relevant legislation concerning their activities, relevant organs of the executive authority and municipalities;


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