Work in Azerbaijan for a corporation based in Luxembourg

Can I live in Azerbaijan and work remotely for a company in Luxembourg?

Yes, it is possible, however we usually recommend double-checking the following points:

  1. You should be able to find a company that is willing to sponsor you and pay your salary.
  2. You should be able to find a company that will hire you.

I am looking to find a remote job in Azerbaijan.

How to find remote work in Luxembourg while living in Azerbaijan?

Usually, it is feasible to get remote jobs in Luxembourg even though you are located in Azerbaijan. For that we will give you some tips that will help you find remote jobs in Luxembourg.

  1. Find remote work in Luxembourg from your home country
    If you are living in Azerbaijan, but want to find remote work in Luxembourg, you should first find remote work in your home country.

Why?
Because Luxembourg is a small country and it is not easy to find remote work in Luxembourg.
Luxembourg is a small country with a population of less than 500 thousand people. The country is divided into four regions: Grand Duchy, Bas-Rhin, Haut-Rhin, and Moselle.
There are more than 150 companies in Luxembourg, but most of them are small and medium sized companies.
2. Find remote work in Luxembourg from other countries
If you are living in Azerbaijan and want to find remote work in Luxembourg, you should find remote work in other countries.

How to get paid in Azerbaijan when working remotely for a corporation in Luxembourg?

You can get paid in Azerbaijan even if you are working for a company in Luxembourg, however , it is not that easy.

If you are planning to work for a company in Azerbaijan, you should be aware of the fact that it is not that easy to get paid in Azerbaijan when working for a corporation in Luxembourg.
In fact, you will have to work hard to get paid in Azerbaijan.
It is not that easy to get paid in Azerbaijan even if you are working for a company in Luxembourg.

How do taxes work in Azerbaijan if I’m working remotely for a company Azerbaijan?

When working remotely in Azerbaijan for a firm based in Luxembourg, taxes might be tricky, therefore it’s important to understand how it works.

The first thing to note is that if you are a freelancer, you are not a company. You are an individual, and as such, you are not subject to corporate tax. You are subject to income tax, which is based on your net income.

What does net income mean?
Net income is the amount of money you make after all expenses have been subtracted.
This might seem confusing, but it’s actually fairly simple. Let’s say you make $100,000 per year. You pay $10,000 in rent, $10,000 in utilities, $5,000 in insurance, $5,000 in health insurance, and $10,000 in car payments. Your total expenses are $50,000, so your net income is $50,000.
If you are a freelancer, you should not be paying any taxes on your net income.

What if you are a company?
If you are a company, you are subject to corporate tax. This means you are required to pay a percentage of your income to the government.
The corporate tax rate in Azerbaijan is 12.5%, which is one of the lowest in the world.