During a meeting with business leaders today, the president Shavkat Mirziyoyev announced a tax amnesty for identified errors.
Checks found that 20,000 businesses had committed errors and violations totaling 16 trillion soums ($1.28 billion), which affected their ranking in the business sustainability rating.
“Therefore, today we are announcing a kind of ‘amnesty’: fines for these checks will not be applied. Instead, businesses shall be provided the opportunity to voluntarily rectify all errors and shortcomings by November 1. In short, from November 1, the business rating will be restarted with clean sheet, the president said.
Another change is the the increase of the upfront payment threshold for income tax. If before this concerned companies with a turnover of over 10 billion soums, now the rule shall only apply to enterprises with revenues of over 20 billion soums.
Thanks to this, almost 14 thousand firms will keep about 1 trillion soums of working capital at their disposal, Mirziyoyev noted.
The VAT was reduced to 12%, the number of firms on this regime is growing. While, many businessmen are afraid of additional accounting costs. To stimulate the transition from turnover tax to VAT, the government will introduce a number of benefits: companies shall be waived from income tax for a year, errors in reports will not be punished, and part of the accountant's salary (up to 5 million soums per month for six months) can be deducted from taxes.
