The President of Uzbekistan Shavkat Mirziyoyev approved a new package of anti-crisis measures for the population, business, catering, trade and services.
The text of the presidential decree was published by the Ministry of Finance. According to the decree of the catering enterprise:
a) are exempt from payment:
fee for the right to carry out retail trade in alcoholic beverages – from 1 April to 31 December 2020;
value added tax – from 1 July to 31 December 2020;
b) has the right to sell alcohol with delivery;
c) they can expand the staff – the maximum average annual number of employees for them increases from 25 to 50 people, which will allow them to remain in the category of small businesses and enjoy all the benefits and preferences of small businesses;
d) until 1 July 2021, as the quarantine restrictions are lifted, they have the right to place and equip light structures to serve consumers on the adjacent vacant land plots free of charge. The khokimiyat will need to be notified about this. The structures must be located, equipped and operated in accordance with the requirements that the Government will approve within two weeks.
Landlords are advised to lower their rent in 2020, taking into account the tax incentives provided. Specifically, from 1 July to 31 December 2020:
enterprises specializing in the provision of premises for rent are exempt from value added tax;
individuals are exempt from personal income tax on income received from the provision of real estate for rent;
the application for tax purposes of the minimum rental rates for individuals who lease premises and vehicles is suspended.
Until 1 July 2021, as the quarantine restrictions are lifted, business entities will be able to trade through car shops, car dealerships, caravans, tank trucks and food trucks. Instead of concluding an agreement with the khokimiyat – notification of tax authorities. It will need to indicate the dates, goods and places of trade that are not prohibited for parking vehicles. The notification can be sent free of charge in electronic form through the official website of the State Oil Company and mobile applications.
In 2020, a penalty for violating the deadline for submitting tax returns is not imposed if no more than 5 days have passed from the deadline. Specific cases in which sanctions are not applied will be determined by the State Tax Committee.
In addition, a number of benefits have been extended:
firstly, the amount of deductions from wholesalers of alcoholic beverages, reduced from 5% to 3%, will be valid until 31 December (originally set for a period until 1 October);
secondly, until 31 December 2020, the previously established benefits were extended:
a) for exemption from property tax and land tax:
small business entities;
markets and shopping malls, cinemas, catering establishments, public transport, sports and recreation facilities, as well as legal entities that carry passengers, provide personal services, and provide premises for rent, including for banquets;
b) to reduce the social tax rate from 12% to 1% for microfirms and small enterprises, except for producers of excisable products, state-owned enterprises and legal entities with state shares of 50% or more. At the same time, public catering applies a reduced social tax rate regardless of the number of employees;
c) for a deferred payment of customs duties and excise taxes levied on the import of goods (except for consumer goods) provided to microfirms and small enterprises operating for at least a year, with the subsequent payment of the deferred amount in equal installments within 120 days;
d) to suspend the collection of taxes, penalties, and accrued fines for violation of tax legislation from microfirms and small enterprises as of 15 May 2020;
thirdly, by the end of the year, there will also be benefits for income tax, VAT, turnover tax and personal income tax in terms of gratuitous transfer (receiving gratuitous assistance) to the Mahalla, Sakhovat va kumak and Uzbekiston mehr-shafkat va salomatlik funds, including their offices in Karakalpakstan, regions, capital, districts and cities. It was clarified that benefits for families with children under 14 years old, as well as benefits for mothers for caring for a child up to 2 years old are not included in the total income when calculating personal income tax.
Qualification certificates of auditors, realtors, appraisers, actuaries, managers of pharmacies and their branches, employees of tourist organizations and guides (guides), teachers of foreign languages, expiring from 1 March 2020, are extended until the next qualifying exam.
