Fundamental principles of taxation and tax incentives

On the basis of degree of progression of tax, it may be classified into:

• Proportional tax
• Progressive tax
• Regressive tax

PLAN 2 Tax incentives: exemptions and deductions

• A tax incentive is an aspect of a country’s tax code designed to incentivize or encourage a particular economic activity
• Tax incentives include exemptions, deductions, credits and so on

SH. Mirziyoyev, the President of the Republic of the Uzbekistan, issues decree approving concept for improving Uzbekistan’s Taxation Policy, which is aimed at “reducing the tax burden, simplifying the taxation system and improving tax administration” 1 January, 2019.

• 12% flat personal income tax for all citizens , of which 0,1 % is sent to individual accumulative pension accounts

PLAN 3

• The special attention in major tax reforms that have taken place in Uzbekistan were given to the simplified method of taxation used for microeconomics and small businesses
• Tax system of the Republic of Uzbekistan is based on the Tax Code, and other decrees issued under the commission of The Tax Committee of the Republic of Uzbekistan, The Ministry of Finance, The Cabinet of Ministers

According to the Tax Code, the following taxes are available:

• The corporate profit tax;
• The personal income tax;
• The value-added tax;
• The excise tax;
• The tax on users of mineral resources;
• The tax on water resources;
• The property tax;
• The land tax;
• The social tax
• The personal tax for consumption of gasoline, diesel fuel and gas for transport means

CONCLUSION

if conducted properly, the country can reach sustainability in economics through perfect tax system

Taxation should follow common rules accepted by The World Bank, The Monetary Fund Organization

It is acceptable to apply common principles to the tax system

Thank you for attention