BAKU, Azerbaijan, Dec. 10
By Fakhri Vakilov - Trend:
The deputies of the Legislative Chamber of Uzbekistan’s Parliament adopted the law "On Amendments and Additions to the Tax Code of Uzbekistan", Trend reports citing the press service of the Legislative Chamber of the Parliament.
Discussions of this bill in the lower house of parliament were held with the participation of members of the Committee on Budget and Economic Reforms, employees of the State Budget Office, as well as officials of the Ministry of Finance and the State Tax Committee.
The new tax system was based on principles of a consistent reduction of the tax burden, simplification of the tax system and improvement of tax administration.
From a conceptual point of view, the draft law on the Tax Code was adopted by the deputies in first reading at a meeting on November 26 of the current year, and then was discussed and finalized in the factions of all political parties, committees of the lower house of parliament and at meetings of the working group. Discussions were held with the participation of specialists in the regions of the country.
In the new edition, the Tax Code acquires the status of a direct action document with the maximum reduction of reference norms and by-laws. The project provides for the determination of rates for all types of taxes (excluding excise, land and tax for the use of water resources). A new tax control procedure is being introduced (desk audit, field audit, tax audit).
The risk analysis program divides all existing business entities into 3 segments (green, yellow, red). Enterprises with a low degree of danger (green) will not be assigned tax audits, and they will be provided with high-level tax services.
Enterprises with an average level of danger (yellow) will be assigned only desk audits, they will be able to correct errors in their report, and financial and administrative fines will not be applied to them.
Enterprises with a high degree of danger (red), where cases of tax evasion, falsification of accounting documents and invoices are identified, will be assigned tax audits. These enterprises will be constantly monitored.
The project reduces the types of tax audits from 13 to 3, introduces a mechanism for the timely return of the amount of excessively paid tax and the offset (refund) of the amount of excessively collected tax. The tax authority will pay a penalty to the taxpayer for each overdue day for the return of the tax amount.
For foreign tourists, a VAT refund is introduced on the basis of the Tax free principle. Payment of VAT is canceled for the gratuitous transfer of property or services.
The single social payment rate is reduced from 25 to 12 percent for state enterprises with a state share in the authorized capital of 50 percent or more. The project also introduces the mandatory practice of pre-trial discussion of tax disputes.
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