The President of Uzbekistan signed the Decree dated 26 September 2019 No.UP–5837 “On measures to further improve the tax policy of the Republic of Uzbekistan”.
According to the Decree, from 1 October 2019, the rate of VAT will be reduced from 20 to 15 percent.
Also, the current procedure for suspension by tax authorities of operations on taxpayer accounts with commercial banks is canceled.
In addition, in the process of preparing the draft State Budget for 2020, it is provided for:
- decrease in the rate of a single social payment from 25 to 12 percent for state enterprises, legal entities with a state share in the charter capital in the amount of 50 percent or more;
- establishment of a base rate of corporate income tax at a rate of 15 percent with the preservation of the income tax rate paid in the form of dividends;
- cancellation of the simplified procedure for calculating and paying value added tax.
From 1 October 2019, the amount of the single tax payment previously credited to the extra-budgetary Pension Fund under the Ministry of Finance is credited to the budgets of the Republic of Karakalpakstan, local budgets of regions and Tashkent city.