Uzbekistan’s total income tax on profits falls on gold, copper extraction enterprises

Uzbekistan Materials 3 August 2021 13:12 (UTC +04:00)
Uzbekistan’s total income tax on profits falls on gold, copper extraction enterprises

BAKU, Azerbaijan, August 3

By Klavdiya Romakayeva - Trend:

Some 12.6 trillion soums ($1.2 billion) or 67.8 percent of the total income tax on profits in Uzbekistan account for enterprises for the extraction of gold and copper, Trend reports referring to the Finance ministry of Uzbekistan.

According to the ministry, income tax revenues in the first half of 2021 in Uzbekistan amounted to 18.6 trillion soums ($1.7 billion), increasing by 6.8 trillion soums ($639 million) compared to the same period last year.

It is noted that the increase in revenues was driven by economic recovery, improved administration and tax compliance in the country.

In addition, the decrease from 20 percent to 15 percent of the tax rate for the use of mineral resources for gold and silver had a positive effect, which led to an increase in the profit tax base, and an increase in gold prices by an average of 9.8 percent.

Earlier it was reported that according to the decree of the president of Uzbekistan dated December 30, 2020 "On measures to ensure the implementation of the law of Uzbekistan" On the State Budget of the Republic of Uzbekistan for 2021", income tax will dominate the direct tax exemption. It is expected that the budget will receive 27.7 trillion soums ($2.6 billion) of income tax from the total number of direct taxes 46.8 trillion soums ($4.4 billion).

Also, the head of state approved the list of large taxpayers (118), the profit tax from which is sent to the republican budget in full.

It is noted that large taxpayers include, in particular, Navoi and Almalyk mining and metallurgical plants, Uztransgaz, thermal and hydroelectric power plants, cement plants, chemical enterprises, automotive enterprises, cellular and tobacco companies, airports, etc. Some 32 commercial banks are also classified as large taxpayers.

It was also reported that the tax policy for 2021in Uzbekistan provides for maintaining a 15 percent, for certain categories - 20 percent income tax rate.


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