Uzbekistan uses benefits to attract foreign investors
Tashkent, Uzbekistan, Dec. 29
By Demir Azizov- Trend:
Starting from July 1, 2016, joint stock companies in Uzbekistan will be formed only with at least a 15-percent share of foreign investors, according to the decree of Uzbek president Islam Karimov.
The decree said the joint-stock companies have to make appropriate changes to their statutes and internal regulations before July 1, 2016.
The document provides for an exception of this requirement for joint-stock companies operating in the sphere of production and primary processing of strategic raw materials, as well as the subjects of natural monopolies and providers of socially significant services at regulated prices, the lists of which are approved by the cabinet of ministers of the country.
The joint stock companies created prior to the announcement, which do not ensure the mentioned 15-percent share of foreign investors, are subjected to transformation into other organizational and legal forms.
The joint-stock companies, where the share of foreign investor varies from 15 percent to 33 percent, will receive differentiated benefits when paying taxes on profits, property, improvement and development of social infrastructure, as well as when making mandatory contributions to the Republican Road Fund, depending on the investments made by a foreign investor.
In addition, incomes of foreign investors obtained in the form of dividends on shares are exempt from taxation before January 1, 2020.
Some 4,883 enterprises with foreign investment were registered in Uzbekistan as of early January 2015, according to State Statistics Committee of Uzbekistan.