Tashkent, Uzbekistan, Dec.12
By Demir Azizov- Trend:
The Uzbek Senate (upper house of parliament) approved the state budget for 2014 with around a 1.3 trillion soums ($600,626,000) deficit, or one percent of the forecasted GDP volume on Dec.12.
It was earlier reported that the lower house of the Uzbek parliament approved the state budget for 2014 with a deficit of about one percent of the forecasted GDP of the country.
The parameters of the state budget have been worked out taking into account the forecasted GDP growth by 8.1 percent, the growth of the industrial production by 8.3 percent, the growth of agricultural production by six percent, the increase of investments by 9.5 percent in 2014, as well as inflation in the amount of 6-7 percent in 2014 compared to 7-8 percent in 2013, according to Uzbekistan's First Prime Minister, Minister of Finance Rustam Azimov who presented the draft state budget to the senators.
The revenues of the state budget are planned to be in the amount of 30.2 trillion soums ($13,953,004,000 ) or 23.2 percent of the planned GDP volume and the budget expenditures are planned to be in the amount of 31.5 trillion soums ($14,553,630,000 ) or 24.2 percent of GDP, Azimov said.
A decrease in the basic rate of tax on legal entities' income from nine to eight percent, is planned which will allow them to keep around 132 billion soums ($60,986,640,000) in the budget of entrepreneurs.
Moreover, the benefit term is to be extended from five to ten years for legal entities to pay the property tax for new equipment.
The minimum rate of income taxation is to be reduced from eight to 7.5 percent on physical entities' income.
It was previously reported that the minimum wage has been set at 96,105 soums ($44,402) in Uzbekistan beginning December 15.
"The tax on legal entities' property is to be indexed from 3.5 percent to four percent in the area of resource taxes," finance minister said. "This will ensure additional revenue to the budget worth $ 54 billion soums. Moreover, an excise tax on domestically produced alcohol products is to be indexed from five to 25 percent depending on the type of product, as well as tobacco products at 35 percent."
The expenditure on social services and social support of the population will hit 59.6 percent in the expenditure part of the budget compared to 59.3 percent in 2013.
The state budget law will enter into force after the president's approval.
It was earlier reported that the Uzbek state budget for 2013 was approved with a deficit of 1.2 trillion soums ($554,424,000) or one percent of a projected GDP volume , revenues - 25.1 trillion soums ($11,596,702) (21.3 percent of GDP), expenditure - 26.3 trillion soums ($12,151,126) (22.3 percent of GDP).
The official exchange rate is 2.197.27 soums/$1 on Dec. 12.
Translated by L.Z., N.H.
Edited by C.N.