The Decree of the President of the Republic of Uzbekistan “On measures for further stimulation of geological exploration works and improvement of the procedure of taxation of subsoil users” No.УП-6319 dated October 6, 2021 (the – “Decree No.УП-6319”) provides for a special tender procedure for the right to use the subsoil for geological exploration or mining in previously explored areas with commercial potential.
The Decree No.УП-6319 establishes that:
- from 1 January 2022:
a) land plots allotted for exploration and geological survey will not be subject to taxation by the land tax of legal entities;
b) there will be introduced an annual license fee for the use subsoil plots for geological exploration;
b) the subsoil tax rate for oil and natural gas will be reduced to 10 per cent, gold and copper to 7 per cent, tungsten to 2.7 per cent and uranium to 8 per cent;
r) there will be introduced a rent tax for subsoil users producing oil, natural gas, gas condensate, precious metals, non-ferrous metals, rare metals and radioactive metals in new deposits;
d) there will be granted the right to maintain tax accounts in United States dollars to taxpayers on rent income tax to enterprises with foreign investment.
- from 1 October 2021:
a) for imports of natural gas for export, the excise tax rate is zero per cent;
b) when natural gas is imported into the territory of Uzbekistan, legal entities shall be exempted from customs duty.